Key Highlights

  • Invion has signed two funding arrangements that it expects to cover up to approximately 85% of its clinical trial costs, including the non-melanoma skin cancer and anogenital cancer programs.
  • Point8 Capital will fund 50% of clinical trial invoices up to A$25 million, in return for 11,055,313 unlisted options equal to 10% of Invion's issued share capital, subject to shareholder approval.
  • Rockford Capital has committed a secured facility of up to A$7.5 million across FY27 and FY28, carrying 16.0% annual interest, a 1.50% drawdown fee and a final maturity date of 30 April 2029.
  • The Point8 options have an exercise price of $0.03639 and a five-year term, and can only be exercised once funding has been provided and a trial candidate reaches Phase 3.

Invion Limited (ASX:IVX), the Melbourne-based developer of the Photosoft light-activated cancer technology, has signed two funding arrangements that it expects will cover up to approximately 85% of its current and future clinical development programs. The agreements, disclosed on 21 October 2026, are a co-funding deed with Point8 Capital Pty Ltd (Point8) worth up to A$25 million and a secured loan facility of up to A$7.5 million from Rockford Capital. They are aimed at the ongoing non-melanoma skin cancer (NMSC) trial and a planned anogenital cancer trial.

Two Facilities Behind the 85% Figure

Point8 has committed under a binding Co-Funding and Option Deed to provide a multi-year facility of up to A$25 million. Rockford RDF Pty Ltd ATF the Rockford RDF Unit Trust (Rockford Capital) has committed under a binding secured loan agreement and security deed to provide up to A$7.5 million in aggregate across FY27 and FY28.

Both facilities release money when invoices from clinical research organisations (CROs) fall due. Point8 will fund 50% of each CRO invoice and Rockford Capital up to circa 35% of the total invoice amount, which together make up the approximately 85% of costs that Invion expects to be covered, leaving about 15% for the company. Point8 will contribute half of each clinical trial payment, cumulatively up to A$25 million, and Invion intends to draw on the facility in stages.

Point8 Options Tied to Phase 3 and Drawdowns

In return, Invion will grant Point8 or its nominee 11,055,313 unlisted options, equal to 10% of its total issued share capital at the date of the deed on a non-diluted basis. The grant needs shareholder approval under ASX Listing Rule 7.1. The exercise price is $0.03639, the volume weighted average price (VWAP) of Invion shares over the five trading days before the deed took effect, and the term is five years from the grant date.

Exercise is conditional on a clinical trial candidate under the program successfully reaching Phase 3 and on funding being provided under the facility. The number of options vesting on each drawdown follows the formula A = (B/C) x D, where B is the drawdown amount, C is A$25,000,000 and D is the total options held by Point8 and its nominees, with fractions rounded up. Options therefore vest in proportion to the money drawn; half the facility would vest half the options.

The deed runs until the options lapse and the facility is fully drawn, repaid or terminated. It can end earlier for an unremedied material breach after 10 business days' written notice, without affecting options already validly granted.

How the Rockford Capital RDTI Loan Works

The Rockford Capital facility lets Invion fund its share of CRO invoices before it receives refundable R&D Tax Incentive (RDTI) offsets. The borrowing base is 80% of the refundable RDTI offset, equivalent to approximately 34.8% of eligible R&D expenditure. Invion has granted Rockford Capital a first ranking security interest over its refundable RDTI offset receivables and a featherweight security over its assets on customary terms.

Drawdowns follow CRO invoice payment dates and require either that the Point8 contribution has been received in cleared funds, or that Invion holds enough cash to pay the invoice in full after deducting the drawdown. Interest is 16.0% a year with a drawdown fee of 1.50% of each amount advanced. Each tranche matures on the earlier of receipt of the RDTI offset for the relevant income year and 12 months after that year ends, with a final maturity date of 30 April 2029.

Invion also agreed to issue shares equal to A$50,000 as an arrangement fee at $0.03639, the five-day VWAP before the facility documents, equating to 1,374,003 shares after rounding down. If shareholders do not approve the issue under Listing Rule 7.1, Rockford Capital may withdraw undrawn funding or take the fee in cash.

Where Things Stand for the Skin and Anal Cancer Programs

Invion Limited (ASX:IVX) plans to advance its NMSC trial to Phase II, as announced on 19 October 2026, and has partnered with the Peter MacCallum Cancer Centre to start an anogenital trial in the coming year. The US Food and Drug Administration (FDA) has granted Orphan Drug Designation to its lead candidate, INV043, for anal cancer. Photosoft is a Next Generation Photodynamic Therapy that uses non-toxic photosensitisers and light to kill cancer cells selectively. The option grant to Point8 and the share issue to Rockford Capital each require shareholder approval.