A$10.85 million funding package advances Elate Ocular® Phase 3 program
Cambium Bio Limited (ASX: CMB) has received firm commitments to raise A$7.1 million through a conditional placement, which, combined with an A$3.75 million Research and Development Tax Incentive (RDTI) pre-financing facility, delivers a total funding package of A$10.85 million to advance its pivotal Phase 3 program for Elate Ocular® in moderate to severe dry eye disease.
The placement involves the issue of 14,791,667 new fully paid ordinary shares at A$0.48 per share, a price representing a 4.3% premium to the company’s closing share price of A$0.46 on 15 September 2026. The premium pricing signals investor confidence rather than a discounted raise. The placement is conditional on shareholder approval at the 2026 Annual General Meeting (AGM), expected to be held in mid to late November 2026.
Proceeds from the combined funding package are intended for the pivotal Phase 3 trial of Elate Ocular®, Phase 3 manufacturing, regulatory activities, and general working capital.
The capital raised will fund the CAMOMILE-3 study, a programme whose design was shaped by the FDA’s April 2026 confirmation of a single pivotal trial pathway to a Biologics License Application, replacing the historical dual-study requirement and materially reducing the total capital needed to reach potential market authorisation.
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Strategic shareholder backing anchors the placement
The placement draws capital from four participants, combining continued support from existing shareholders with new strategic investment:
- ZYBT (Zheng Yang Biomedical Technology Co., Ltd.) — Cambium Bio’s largest shareholder and long-standing strategic partner, participating to maintain approximately its existing shareholding (voting power expected to decrease slightly from approximately 36.78% to approximately 35.06% post-placement).
- Mr Chun Yi (Brandon) Wu — an existing shareholder increasing his position.
- Ms Yi Chi Wu — a new investor and associate of Mr Wu.
- Ms Shu-Chin (Tiffany) Hsu — a new investor.
Mr Wu and Ms Yi Chi Wu are associates. Their combined voting power is expected to increase from approximately 18.51% to approximately 31.85%, requiring shareholder approval under item 7 of section 611 of the Corporations Act, supported by an independent expert’s report.
ZYBT is a related party of the company, given that Non-Executive Director Dr Sebastian Tseng is Executive Chairman of ZYBT. The issue of placement shares to ZYBT therefore requires shareholder approval under ASX Listing Rule 10.11. The Board, with Dr Tseng abstaining, has determined that the terms of the placement are on arm’s length terms. No placement capacity under ASX Listing Rules 7.1 or 7.1A is used. No lead manager, broker, or external adviser was engaged, and transaction costs are nominal.
ZYBT’s prior strategic investment in January 2026, made at a 20% premium and directed toward initiating Phase 3 patient dosing, established the pattern of premium-priced participation that the current placement continues, reinforcing the strategic partner’s long-term alignment with Elate Ocular’s development.
| Participant | Shares held before | Voting power before | Placement shares | Shares held after | Voting power after |
|---|---|---|---|---|---|
| ZYBT | 10,826,136 | 36.78% | 4,677,444 | 15,503,580 | 35.06% |
| Chun Yi (Brandon) Wu | 5,448,000 | 18.51% | 2,733,363 | 8,181,363 | 18.50% |
| Yi Chi Wu | nil | — | 5,901,693 | 5,901,693 | 13.35% |
| Shu-Chin (Tiffany) Hsu | nil | — | 1,479,167 | 1,479,167 | 3.34% |
| Total | — | — | 14,791,667 | — | — |
Voting power figures are approximate, calculated on 29,431,918 shares on issue before the placement and 44,223,585 shares after, assuming all four tranches are issued.
Understanding RDTI pre-financing — what it means for investors
The RDTI is a federal government programme that refunds a percentage of eligible research and development expenditure to qualifying companies. Rather than waiting for the Australian Taxation Office (ATO) to process that refund at the end of the financial year, pre-financing allows a company to borrow against the expected refund now, accessing capital sooner.
Cambium Bio executed the A$3.75 million secured facility with Rockford RDF Pty Ltd on 5 August 2026, secured over the FY2027 RDTI refund receivable and its proceeds only. The facility was undrawn as at the date of the announcement.
From an investor perspective, pre-financing the RDTI refund means Cambium Bio accesses non-dilutive capital without issuing additional shares for this tranche. It preserves equity while accelerating the funds available to support the Phase 3 programme.
Timetable, next steps, and what investors should watch
The key milestones for the placement are as follows:
- Announcement of the placement and Appendix 3B — 15 September 2026
- Notice of AGM, including the independent expert’s report, dispatched to shareholders — mid/late October 2026
- 2026 Annual General Meeting — mid/late November 2026
- Subscription monies due — within three business days after the AGM
- Placement shares issued and quoted on ASX — within five business days after the AGM
- Lapse date if approvals not obtained — 30 November 2026
The three shareholder resolutions (covering the issues to ZYBT, Mr Wu and Ms Yi Chi Wu, and Ms Hsu) are inter-conditional. If any one resolution is not passed by 30 November 2026, the placement will not proceed for any participant. For investors, the November AGM represents the key near-term catalyst to watch.
CEO Karolis Rosickas
“This placement brings together continued support from our largest shareholder, ZYBT, and from Mr Wu, alongside new investment from Ms Wu and Ms Hsu, and reflects sustained confidence in Elate Ocular® and our pivotal Phase 3 program. Together with the RDTI pre-financing facility, it gives Cambium Bio an A$10.85 million funding package to initiate and run the pivotal trial. We look forward to putting the placement resolutions to shareholders at our Annual General Meeting.”
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