Dara BioSciences (NASDAQ:DARA), which is developing drugs for Type 2 diabates and cancer-related pain, has avoided a delisting from the NASDAQ and raised enough money to operate for at least a year, the company stated Tuesday.
Dara, based in Raleigh, North Carolina, wanted to raise $4 million through a registered public offering. The company wound up raising $4.8 million. Proceeds will total about $4.3 million.
The News & Observer noted that Dara’s cash had dropped to $874,577 as of Sept. 30. Adding that money with the funds raised through the offering provides enough cash to operate for 12 months and meet NASDAQ’s requirements.
Dara develops drugs and then sells them to larger pharmaceutical companies. One drug, which treats neuropathic pain in patients with cancer, recently completed a Phase 2 clinical trial and will begin another later this year. An oral Type 2 diabetes treatment will enter into its second Phase 1 trial in the next few months.
