Tustin biotech company Techniclone Corp. said Thursday it will issue about $3 million in common stock to Germany-based Schering AG to cover projected expenses of clinical trials of Oncolym, a Techniclone drug to treat non-Hodgkin's lymphoma.
Schering's U.S. unit, Berlex Laboratories, will begin Phase I trials to measure the safety and effectiveness of a single dose of Oncolym in intermediate and high-grade non-Hodgkin's lymphoma, Techniclone said Thursday.
The study is designed to treat as many as 18 patients, with provision to treat more if necessary. If the initial study is successful, Berlex will start a study of 100 patients.
Techniclone plans to issue about $1.3 million in stock immediately, with the remaining $1.7 million to be issued at the start of the second stage of the trials.
The stock closed Thursday at $3.53, up 3 cents a share, in trading on the Nasdaq SmallCap market.