GW Pharma placing to bring in L25 million

21 June 2001

GW Pharmaceuticals of the UK, which is developing a cannabis-basedtreatment for multiple sclerosis, says that its placing to go on London's Alternative Investment Market has been oversubscribed more than six times. The firm now expects to raise L25 million ($35.2 million), compared with an earlier estimate of L16 million (Marketletter May 21), which will give the company a value of L175 million.

GW's cannabis product for MS is in Phase III trials and the proceeds from the placing will help push along development of a treatment based on the drug for rheumatoid arthritis. The market for cannabis-based drugs is potentially a huge one, and analysts believe that peak sales for GW's MS drug could be L500 million.

Expanding into Europe and North America

This article is accessible to registered users, to continue reading please register for free. A free trial will give you access to exclusive features, interviews, round-ups and commentary from the sharpest minds in the pharmaceutical and biotechnology space for a week. If you are already a registered user please login. If your trial has come to an end, you can subscribe here.

Try before you buy

Free

7 day trial access

Take a Free Trial

All the news that moves the needle in pharma and biotech
Exclusive features, podcasts, interviews, data analyses and commentary from our global network of life sciences reporters.
Receive The Pharma Letter daily news bulletin, free forever.

Become a subscriber

£820

Or £77 per month

Subscribe Now

Unfettered access to industry-leading news, commentary and analysis in pharma and biotech.
Updates from clinical trials, conferences, M&A, licensing, financing, regulation, patents & legal, executive appointments, commercial strategy and financial results.
Daily roundup of key events in pharma and biotech.
Monthly in-depth briefings on Boardroom appointments and M&A news.
Choose from a cost-effective annual package or a flexible monthly subscription

The Pharma Letter is an extremely useful and valuable Life Sciences service that brings together a daily update on performance people and products. It’s part of the key information for keeping me informed

Chairman, Sanofi Aventis UK

More ones to watch >

Today's issue

Company Spotlight

Ironwood is a US-based biotech advancing a pipeline of medicines in multiple areas of significant unmet need, including irritable bowel syndrome with constipation ((IBS-C)/chronic idiopathic constipation (CIC), vascular and fibrotic diseases, and refractory gastroesophageal reflux disease, among others.