Bio-Path Holdings Secures $4 Million Through Strategic Placement

Bio-Path Holdings' Significant Private Placement Announcement

Bio-Path Holdings, Inc. (NASDAQ: BPTH) has made headlines recently by entering into binding agreements for a private placement that will generate around $4 million for the biotechnology company. This funding is pivotal for Bio-Path as it continues to drive innovation in the field of cancer treatment.

Details of the Offering

The company plans to issue approximately 4,597,702 shares of its common stock, along with series A warrants to acquire up to 6,407,657 additional shares. This initiative is priced at $0.87 per share, a strategic move under the current Nasdaq regulations. It's noteworthy that the series A warrants will allow for share purchases at $1.00 each and can be exercised post-stockholder approval.

Expected Benefits from the Placement

This influx of capital is intended to bolster Bio-Path's working capital and general operational purposes. The exclusive placement agent for the offering is H.C. Wainwright & Co., a respected name in financial services. With the completion of this private placement, the company anticipates the closing to occur around a specified future date, contingent on standard closing criteria.

Utilization of Proceeds

The funds generated from this private placement are projected to significantly enhance Bio-Path's operational capabilities. The company aims to utilize the proceeds primarily for research and development, as well as to ensure continued advancement of its product pipeline.

Strengthening the Product Pipeline

Bio-Path's core focus is on leveraging its proprietary DNAbilize® technology to develop RNAi nanoparticle drugs. Among their promising candidates is prexigebersen (BP1001) which targets the Grb2 protein and is currently undergoing a Phase 2 study for blood cancers. Their innovative approach could reshape treatment methodologies for various cancer types.

Company Overview and Future Directions

Founded to revolutionize cancer therapies, Bio-Path has attracted attention for its commitment to creating viable therapies delivered through its unique liposomal technology. Their other product, BP1002, addresses the Bcl-2 protein and is being researched for broader applications beyond blood cancers.

Regulatory Considerations

The shares from this offering, including those deriving from the attached warrants, are being issued under provisions of the Securities Act, making it essential for the company to adhere to regulatory requirements for investor safety and transparency. Bio-Path has committed to filing for resale registration as part of its compliance efforts.

Future of Bio-Path Holdings

As Bio-Path Holdings continues its progressive trajectory, the successful execution of this private placement will play a crucial role in enabling further clinical trials and expanding its innovative product offerings. The demand for advanced cancer therapies presents a substantial opportunity for Bio-Path to make a lasting impact within the biotech landscape.

Investor Relations and Contact Information

Investors and interested parties can reach out to Bio-Path Holdings for more information regarding their offerings and progress. Contact Doug Morris from Investor Relations at 832-742-1369 or connect with Will O'Connor from Stern Investor Relations at 212-362-1200 for any inquiries.

Frequently Asked Questions

What is the purpose of Bio-Path Holdings' recent private placement?

The $4 million generated from the private placement will be used primarily for working capital and to support research and development initiatives.

What technology does Bio-Path Holdings use in its drug development?

Bio-Path leverages its proprietary DNAbilize® technology to create RNAi nanoparticle drugs, enhancing delivery efficacy for cancer treatments.

When is the expected closing date for the offering?

The closing of the offering is anticipated to occur on or around a specified date, subject to satisfaction of customary closing conditions.

What are some of Bio-Path’s lead product candidates?

Bio-Path's key candidates include prexigebersen (BP1001), targeting the Grb2 protein, and BP1002, which focuses on the Bcl-2 protein for treating various cancers.

Who is managing the private placement?

The offering is being handled by H.C. Wainwright & Co., a prestigious firm in the placement and investment banking sector.

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