Drug developer Chimerix said Wednesday it plans to raise as much as $150 million through a public stock offering to finance research and development activities, which are expected to cost the Durham company as much as $125 million in 2015 alone.
Chimerix said the timing and exact size of the stock offering has not been determined. The company’s shares closed Wednesday at $40.18, down $1.48.
The company, which was founded in 2000, is developing advanced antiviral drugs that can be used against an array of fatal viral infections.
Earlier this year Chimerix withdrew its experimental drug, brincidofovir, from clinical trials for the Ebola virus as the global epidemic subsided and it became challenging to enroll volunteer subjects to test the drug.
Chimerix announced earlier this week that it has passed a “major milestone” in enrolling 450 people to evaluate its experimental drug for the prevention of cytomegalovirus infection in bone marrow transplant recipients. The patients for this phase 3 clinical trial have been recruited from more than 40 transplant centers in the United States, Canada and Europe, and Chimerix will begin reporting the data from these clinical trials in early 2016.
Chimerix, which employs 100 people, is testing brincidofovir for the prevention of cytomegalovirus and for the treatment of adenovirus infections, for which it has recruited 150 people by last month for a phase 3 clinical trial that expects to enroll 200 people. Adenovirus, which causes the common cold, can be fatal to cancer patients whose immune systems have been compromised by the combination of a bone marrow transplant, chemotherapy and immunosuppressants.
Brincidofovir has been tested on more than 1,000 people, in previous clinical trials, without the toxic side effects common to other antivirals. Another advantage is that it comes in the form of a pill that’s taken twice a week.
Chimerix became a publicly traded company in 2013, raising $118 million.