WA-BASED business angel Churchill Capital has helped Victorian-based Boron Molecular complete a $1.9 million capital raising ahead of a planned Australian Stock Exchange listing for the pharmaceutical player in the first half of this year.
Besides Churchill, many of Boron’s shareholders are high net worth Western Australians.
Churchill Capital chairman Patrick O’Connor said his firm had become involved with Boron in late 2000.
“We were involved in its initial capital raising in March 2001,” he said.
“Being in WA we approached a number of high net worth individuals in WA for both of the capital raisings.”
Boron has raised $4.9 million since 2001.
Mr O’Connor described Churchill’s role as “supporting companies that might go to an initial public offer or public listing later”.
He said the company planned to issue a prospectus in March and proceed to a public listing in April.
“But the market is a bit tough at the moment,” Mr O’Connor said.
However, he denied the listing was planned as an exit strategy for Churchill or other investors.
“I think most investors see it as a stage of development for the company rather than as an exit strategy,” Mr O’Connor said.
Boron Molecular began life within the CSIRO and has grown to become a medicinal chemistry company providing services and compounds to the world’s pharmaceutical industry.
Pharmaceutical companies use organoboron compounds in the drug discovery process.
Boron markets a catalogue of more than 120 compounds – mainly through US chemical giant Aldrich.
It has installed an advanced laboratory at Noble Park in Melbourne and recruited a team of chemistry specialists.
The company is currently pursuing additional chemistry service contracts in Europe and the US.
Boron Molecular managing director Dr Phillip Reece said even though the company had established income streams there were many potential markets for it to explore.
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