The Scottish-borders based firm is currently in its last funding round, having already secured £800,000 from existing investors- including Scottish Enterprise; angel investors Tri Cap and Braveheart, and board members- and a £495,000 Scottish Enterprise SMART fund research and development grant.
The product, Ryboquin ECP-102, is a Tumour Apoptosis Enhancer- one of a new class of gene therapy drugs designed to make chemotherapy more effective in patients.
Dr Alan Walker, Chief Executive of Ryboquin, said:“In Ryboquin, we now have a product that we believe could enable traditional chemotherapy to be up to four times as effective in some people and reduce some of the side effects of this treatment in some others.
“This funding will enable us to take Ryboquin from the laboratory to a place where it can be used in hospital for a clinical trial.”
The clinical trial will be carried out by the University of Strathclyde’s Institute of Pharmacy and Biomedical Sciences, under Professor Alex Mullen, professor of pharmacy practice.
Professor Alex Mullen said: “This is an exciting opportunity for us to work in partnership and to accelerate the process that might ultimately see this product getting into a clinical environment where it may be of benefit to patients.
“I relish the prospect of co-ordinating the science relating to the scaling up of this product in order to get it from the laboratory into clinical trials.”
Jim Watson, director of innovation and enterprise at Scottish Enterprise, added: “It’s fantastic to be able to support this ambitious Scottish company in scaling up its business.
"We know that companies that embrace both innovation and exporting grow twice as fast as those that don’t.
“These are crucial competitive advantages, not just for Ryboquin, but for the long-term success of the Scottish economy.”
Ryboquin plans to raise a further £7m - £10m from institutional investors during 2016, the proceeds of which will be used to fund the Phase 1 clinical trial of Ryboquin ECP-102 and for further corporate expansion.