Dimerix Secures Non-Dilutive Funding for Key Kidney Disease Programs

Dimerix (ASX: DXB) has secured binding non-dilutive loan facilities of up to A$34 million from a syndicate of Australian and US lenders, extending its funding position across two kidney disease clinical programs.

Dimerix has initially elected to draw only 50% of the currently committed amount initially because it considers that sufficient to complete its presently planned activities.

Existing cash and the facilities are expected to fund completion of the fully recruited ACTION3 Phase 3 trial of DMX-200 and the planned Phase 2 trial of DMX-652 in acute kidney injury.

Dimerix can seek further commitments taking the facility to A$50m by 31 March 2027, although it currently has no plans to access that additional funding.

Across five commercial partners, Dimerix has received A$81m in upfront payments to date and has the opportunity to receive a further A$237m in development milestone payments ahead of commercial launch, while it anticipates repaying the facility through future licensee milestones, potential new licence fees or access to capital markets.

Facility Terms and Drawdown

The new lender terms are substantially similar to those of the previously disclosed A$10m SKIPTAN facility, with minor amendments made to the existing agreement to standardise key provisions across the lender group.

Half of the A$34m committed facility must be drawn by 18 September 2026, with the remainder available at Dimerix's discretion in whole or in part until 31 March 2027, after which any undrawn balance will lapse.

Interest is charged at 10% per annum and compounds annually only on funds drawn and received, while Dimerix can repay early before the final repayment date of 17 January 2028 with a corresponding reduction in interest.

Lenders also receive an unsecured right to an aggregate 30% of each milestone payment under DMX-200 commercial licence agreements, capped at two times the amount drawn and received.

Funding for Clinical Pipeline

“The successful entry into this facility provides Dimerix with the financial flexibility needed to execute our planned development activities without dilution for shareholders,” chief executive officer Nina Webster said.

“As a company dedicated exclusively to kidney disease, Dimerix remains focused on developing new treatment options that have the potential to improve and extend the lives of patients in urgent need.”

DMX-200 is being evaluated in the fully recruited global ACTION3 Phase 3 trial in patients with focal segmental glomerulosclerosis, a rare kidney disease that can progress to kidney failure and require dialysis or transplantation.

Dimerix is also advancing DMX-652 into a Phase 2 trial designed to evaluate its potential to prevent kidney injury and preserve renal function following cardiac surgery.

The DMX-652 program has a clinical trial protocol approved to proceed by the US Food and Drug Administration, while Dimerix also holds sufficient pharmaceutical-grade drug product and manufacturing methodology for the planned Phase 2 study.