Sareum Holdings plc (AIM: SAR), the specialist structure-based drug discovery business, is pleased to announce that it has issued 47,058,824 ordinary shares of 0.025p to Mr and Mrs Leonard Licht at a price of 0.85p per share. As a result, Mr and Mrs Licht between them hold 10.23% of the Company's enlarged issued share capital.
Mr Leonard Licht is the Chairman of Hg Capital, a former founding director and Vice Chairman of Mercury Asset Management and previous Deputy Chairman of Jupiter Tyndall Group.
The funds raised from this share issue will be used to provide extra working capital and for the purchase of specific capital items for the expanding business.
Application has been made for the admission of these shares to trading on AIM with admission expected to take place on 11 January 2007.
Commenting on the agreement, Sareum's Chief Executive Officer, Dr Tim Mitchell, said: "This significant investment by an experienced investor as Mr Licht is a positive endorsement of the long term potential value of Sareum's drug discovery business."
Commenting on the agreement, Chairman of Hg Capital, Mr Leonard Licht said: "As an experienced investor, I believe Sareum to be well positioned to continue their excellent progress and ultimately occupy an important place in the Pharmaceutical and Biotechnology sector."
For further information:
Sareum Holdings 01223 497700
Tim Mitchell, Chief Executive Officer
Buchanan Communications 020 7466 5000
Tim Anderson, Mary-Jane Johnson
Notes for editors:
About Sareum Holdings plc
Sareum Holdings plc is a structure-based drug discovery business headquartered in Cambridge, UK. The Company was formed in August 2003 to discover new drugs for the treatment of cancer. Sareum's unique approach aims to halve the time it takes to discover new drug candidates.
A structure-based approach to drug discovery relies on knowledge of the three-dimensional structure of the proteins that cause disease. Once the structure is known, potential drugs are designed to 'lock-in' to the protein with the aim of reversing or arresting a disease's progression. Knowledge of the structure of the potential drugs and how they 'lock-in' to their target protein assists greatly in the development of high-quality drug candidates. Determining structure is a complex task and requires leading-edge equipment and experienced staff. Sareum's approach to structure determination utilises its proprietary protein expression platform in order to produce multiple recombinant proteins that accelerate structure determination using x-ray crystallography.
Once the structure is determined, the Company's innovative fragment screening platform is used to identify novel chemical templates designed to interact with the target protein. Sareum then uses its high-throughput medicinal chemistry platform to rapidly optimise these molecules and develop the most promising into potential drug candidates.
Sareum aims to successfully deliver drug candidates for licensing to larger pharmaceutical companies at the pre-clinical or early clinical trials stage. This is funded by provision of its specialist drug discovery capabilities to partners in the pharmaceutical and biotechnology industries.
Sareum joined the AIM market of the London Stock Exchange in October 2004 and trades under the symbol SAR. For further information, please visit www.sareum.co.uk