Arizona medical center invests $5.2M in postsurgery drug

Arizona-based Yuma Regional Medical Center is investing $5.2 million in a Palisade Bio post-gastrointestinal surgery drug, the biopharmaceutical company said Aug. 20.

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The funds will be used to develop LB1148, a drug intended to both reduce postsurgical scar tissue buildup and quicken the return of bowel function after GI surgery.

“There are almost seven million surgeries each year in the United States where patients may benefit from LB1148,” Palisade Bio CEO Tom Hallam, PhD, said in a news release. “If approved, LB1148 may provide an easy‐to‐adopt solution to help surgical patients return to GI normalcy faster and help these patients spend less time in the hospital.”

Yuma Regional purchased 1,509,896 unregistered common shares at a purchase price of $3.45 per share — with a five‐year warrant to purchase an additional 377,474 common shares at the same price.

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