Proactive Investors - Redx Pharma PLC (LON:REDX), a clinical-stage biotechnology company focusing on developing novel therapeutics for fibrotic disease and cancer, said it plans to de-list from AIM to re-register as a private limited company.
Chair, Dr Jane Griffiths, said the decision to exit the LSE's junior market had been a unanimous one as she voiced frustration over the company's current valuation - echoing sentiment across the sector.
"Despite completing some of the largest AIM capital raises for biotech companies in recent years, Redx is still liquidity-constrained on AIM," Griffiths said.
"As a result, we believe our current market valuation is not reflective of our track record or future potential and is not conducive to raising the level of capital required for our growing clinical portfolio.
"The board believes that as a private company we can access a broader universe of specialty investors and, accordingly, a larger quantum of future funding required to execute our strategy and maximise our value in the interests of all our shareholders."
Redx's plans mirror those of C4X Discovery, which is also exiting AIM dissatisfied with its lack of access to growth capital.
Redx has issued a circular to its shareholders providing details on the cancellation and re-registration process. This circular also includes a notice for a general meeting scheduled for April 19.