Patrys raises cash, shaves loss in FY12

Patrys (ASX:PAB) improved its financial position in FY12, narrowing its annual loss by 31.2% and raising $5.5 million through two placements.

In its annual report, Patrys said the capital raising initiatives should give it a cash runway until early 2014.

The company posted a net loss for the year of $5.1 million, from $7.4 million in 2011.

The main contributor to the lower loss was a 23.3% reduction in R&D costs, as the company shifted focus towards clinical and preclinical development of three antibody-based cancer treatment candidates.

These include PAT-SM6 - which is at the trial stage as a treatment of melanoma and also being assessed in multiple myeloma – and PAT-SC1, a gastric cancer treatment candidate which Patrys plans to pursue outlicensing arrangements for.

Patrys said that over the next 12 months it plans to commence a multi-dose Phase I/IIa clinical trial of PAT-SM6 in multiple myeloma, commence the hunt for an outlicensing partner for PAT-SC1, and prepare a third antibody treatment candidate for an eventual trial.

The company is in the process of concluding an up to $800,000 share purchase plan, which is scheduled to wrap up at the end of the month.

Patrys (ASX:PAB) shares grew 9.09% in Wednesday's trading, but were trading 4.17% lower at $0.023 as of around 3pm on Thursday.