Purple Biotech Secures $2.8 Million Through Direct ADS Offering

Purple Biotech's Recent ADS Offering Overview

Purple Biotech Ltd. (NASDAQ/TASE: PPBT) is making headlines with a recent announcement about a significant financial maneuver. The company, recognized for its innovative approaches in developing therapies to combat tumor immune evasion and drug resistance, has entered into a definitive agreement to issue 472,668 American Depositary Shares (ADSs). Each ADS represents 200 ordinary shares and is priced at $6.00 per share in a registered direct offering that is expected to generate approximately $2.8 million in gross proceeds.

Details of the Offering

The offering is anticipated to close shortly, with the expected completion date set for early December. Conducted under customary conditions, this transaction will enable Purple Biotech to expedite the development of its promising oncology therapeutic candidates while ensuring adequate resources for general working capital needs.

The Role of H.C. Wainwright & Co.

In this endeavor, H.C. Wainwright & Co. takes on the vital role of exclusive placement agent for this offering. Their expertise will undoubtedly assist Purple Biotech in navigating the complexities of securing such a substantial investment, which is crucial for sustaining and advancing their drug development projects.

Utilization of Proceeds

The net proceeds from this funding initiative will be directed towards enhancing the ongoing research and trials associated with Purple Biotech’s oncology pipeline, specifically targeting therapies that show potential in overcoming significant challenges in cancer treatment.

About Purple Biotech

Purple Biotech has forged a path in the clinical-stage landscape, focusing on the creation of novel therapies. The company’s portfolio includes CM24, NT219, and IM1240, which are designed to target various cancer indications. CM24, a humanized monoclonal antibody, works against CEACAM1, a protein implicated in tumor escape mechanisms.

Advancements in Oncology

The company's pipeline showcases several encouraging developments. For instance, CM24 has recently completed a Phase 2 study combining its efforts with anti-PD-1 checkpoint inhibitors, emphasizing its efficacy in the challenging landscape of pancreatic ductal adenocarcinoma. Results indicated notable improvements across efficacy endpoints and provided insights into potential serum biomarkers, signaling progress in understanding treatment reactions.

Innovative Therapeutic Approaches

NT219 represents another exciting avenue for Purple Biotech. As a dual inhibitor, this small molecule has demonstrated effectiveness in early trials, particularly in combination with cetuximab, for treating recurrent and metastatic squamous cell carcinoma of the head and neck. With promising data emerging from these studies, NT219 is poised for further exploration and potential clinical adoption.

The Future of Purple Biotech

Looking forward, Purple Biotech is also advancing CAPTN-3, a platform utilizing tri-specific antibodies designed to engage multiple immune pathways, enhancing localized responses against tumors. This innovative approach highlights the company’s commitment to developing therapies that mobilize the body's immune system to tackle cancer more effectively.

Frequently Asked Questions

What is the purpose of the recent ADS offering by Purple Biotech?

The purpose is to secure approximately $2.8 million to fund the development of oncology therapeutic candidates and to cover general working capital expenses.

Who is acting as the placement agent for this offering?

H.C. Wainwright & Co. has been designated as the exclusive placement agent for the registered direct offering of ADSs.

What therapies are in Purple Biotech’s pipeline?

Purple Biotech's pipeline includes promising candidates such as CM24, NT219, and IM1240, aimed at tackling tumor immune evasion and providing innovative cancer treatments.

When is the expected closing date for the ADS offering?

The closing of the offering is expected to occur shortly, around early December.

Where is Purple Biotech headquartered?

The company's headquarters are located in Rehovot, Israel, where it continues to drive its research and development efforts.

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