Cynata Therapeutics (ASX:CYP) received firm commitments for a placement of about 6 million ordinary shares priced at AU$0.25 each for gross proceeds of about AU$1.5 million, according to a Monday filing with the Australian bourse.

The company plans to use the proceeds for potential commercial partnerships following the release of results for its osteoarthritis and acute graft-versus-host disease clinical trials expected in May and June, respectively.

The "strategically sized" placement allows the company to bolster its cash runway beyond the readout of the results while minimizing dilution, it said.

Cynata Therapeutics shares fell 4% in recent Monday trade.