15th Oct 2025 12:03
(Alliance News) - Genedrive PLC on Wednesday said its shareholders voted down its equity financing plan that would have extended its cash runway until the second or third quarter of next year, sending its shares higher in response.
Shares in the Manchester-based point-of-care pharmacogenetic testing company climbed 14% to 0.40 pence on Wednesday afternoon in London.
Back in September, the company has proposed a conditional placing, retail offer and warrant issue, conditional upon shareholder approval.
It described the equity financing as "the only certain financing option available", but saw all four resolutions receive between 60.1% and 60.5% of votes against on Wednesday.
Genedrive said that as a consequence of the failed resolutions, the conditional placing and retail offer won't complete, and with the company not possessing the authority to issue warrants in connection with the equity financing.
The company reiterated that it has funding to last until the end of this year. However, it said the uncertainty created by this meeting outcome could negatively impact operations, "which, in the absence of additional funding being made available, could accelerate the timeline on which the directors have to take action to protect the position of creditors."
"Shareholders have comprehensively voted against this financing proposal which would have provided the company with a cash runway through to Q2/Q3 2026 plus the potential of further funding from the exercise of warrants. In light of the significant efforts that have already gone into raising additional funding leading to this proposal the company is cautious about the prospects of securing further capital on terms more favorable to the deal which necessitated this shareholder vote. However the board would continue to welcome and encourage any alternative financing proposals from shareholders or other interested parties that could support its ongoing growth and strategic objectives," said Non-Executive Chair Ian Gilham.
By Christopher Ward, Alliance News reporter
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