Clene Secures $7.3M in Funding, Extends Runway for Neurodegenerative Disease Research

Clene Inc. (NASDAQ: CLNN), a late-stage biopharmaceutical company specializing in neurodegenerative disease treatments, has successfully closed a $7.3 million funding round through a registered direct offering and concurrent private placements. This financial injection is set to support the company's operations into the first quarter of 2025, marking a significant milestone in Clene's journey to advance its promising drug candidates.

The funding round, which involved a healthcare-focused institutional investor and existing shareholders, including insiders, comes at a critical juncture for Clene. The company is preparing for a pivotal meeting with the FDA before the end of November to discuss an accelerated approval pathway for its lead drug candidate, CNM-Au8®, targeting amyotrophic lateral sclerosis (ALS). CNM-Au8® has shown potential in restoring and protecting neurological function, offering new hope for patients with ALS and other neurodegenerative conditions.

In addition to the new funding, Clene has amended its existing debt facility with Avenue Venture Opportunities Fund, L.P. This amendment reduces or defers future monthly principal payments and extends the principal amortization period and final maturity date into the first half of 2025. These financial maneuvers collectively strengthen Clene's position as it pursues its research and development goals.

The implications of this funding round extend beyond Clene's immediate financial health. It represents a vote of confidence in the company's innovative approach to treating neurodegenerative diseases, which include not only ALS but also multiple sclerosis and Parkinson's disease. The extended operational runway provides Clene with the necessary resources to continue its clinical trials and potentially bring groundbreaking treatments to market.

For investors and the broader biotech industry, Clene's successful fundraising in a challenging economic climate underscores the continued interest and potential in neurodegenerative disease research. As the global population ages, the demand for effective treatments for conditions like ALS, MS, and Parkinson's is expected to grow, making Clene's work increasingly relevant.

The upcoming FDA meeting could be a turning point for Clene, potentially accelerating the path to market for CNM-Au8®. If successful, this could not only transform the treatment landscape for ALS patients but also validate Clene's technology platform for addressing other neurodegenerative conditions. The biotech sector will be watching closely as Clene navigates this critical phase, with potential ripple effects across the industry for companies working on similar challenges.