Life sciences Amphion Innovations PLC (LON:AMP) has told investors it is still assessing its short- and medium-term funding options, after confirming that it can’t explain the recent rally in its share price.
Amphion shares began the week at 0.54p, but they have more than doubled over the past three-and-a-bit sessions, peaking at 1.65p shortly after the opening bell on Thursday.
They have since fallen back slightly, but they are still at 1.25p – an 11.1% increase on Wednesday’s closing price.
AIM-quoted Amphion said it is “not aware of any specific reason for this movement”, although it did point to share price rises for two of its investments – Motif Bio Plc (LON:MTFB) and Polarean Imaging Plc (LON:POLX) .
Shares in Motif Bio Plc (LON:MTFB) have risen by more than a third this year as it waits on the green light from regulators to launch its next-generation antibiotic in the US. The Food and Drug Administration is due to give its verdict on iclaprim by the end of next week.
As for Polarean, which is currently running two phase-III trials for its drug-device platforms, it has gained more than 10% over the past few weeks.
Stakes worth £13mln
Amphion has an 8.5% stake in Motif Bio worth £10.9mln, while it owns 18.4mln Polarean shares, worth around £3.2mln.
Amphion, which has a market cap of £2.6mln, reminded investors that it remains “cash constrained” and, as it has said before, is considering its funding options.
It is also working with its debt providers, including the convertible promissory noteholders who have been accommodating in the past.
The firm is proposing to extend the term of the debt to 31 December 2019 following the expiration of the CPN on 31 December 2018. Amphion said that a further announcement will be made in this regard in due course.