Summit Therapeutics raises $500 million in private placement

Summit Therapeutics Inc. (NASDAQ: SMMT) announced it has accepted offers to sell approximately 26.68 million shares at $18.74 per share, raising $500 million in gross and net proceeds through a private placement.

The biotech company's insiders participated significantly in the fundraising. Robert W. Duggan, co-chief executive officer and majority stockholder, along with other executives and employees, invested a combined $272 million. Akeso Inc., whose CEO Michelle Xia serves on Summit's board, contributed $10 million. Total insider investment reached $282 million, with the remaining $218 million coming from institutional and individual investors.

Summit plans to use the proceeds to advance clinical development of ivonescimab, an investigational bispecific antibody that combines PD-1 blockade with anti-angiogenesis effects. The company is conducting multiple Phase III trials for the drug candidate in non-small cell lung cancer and plans to begin colorectal cancer trials by year-end.

Ivonescimab was engineered by Akeso and has been tested in over 3,000 patients in clinical studies globally. The drug received Fast Track designation from the FDA and was approved for marketing in China in May 2024, though it remains investigational in Summit's licensed territories including the United States and Europe.

The shares were sold at the October 21 closing price and were not registered under the Securities Act of 1933. Summit agreed to file a registration statement with the SEC for resale of the shares following the transaction's closing.

Founded in 2003, Summit focuses on oncology drug development and maintains headquarters in Miami with additional offices in California and the United Kingdom.

You May Also Be Interested In

• Summit Therapeutics plc (SMMT) PT Raised to $9.80 at Bernstein SocGen Group
• MSCI acquires First Street for $120M to expand climate risk data
• Calidi Biotherapeutics adds biopharma veteran Corsee Sanders to board