PHILADELPHIA and VANCOUVER, British Columbia - BriaCell Therapeutics Corp. (NASDAQ: BCTX, BCTXW) (TSX: BCT), a clinical-stage biotechnology company specializing in immunotherapies for cancer treatment, announced today the pricing of its public offering. The company is offering 12,325,000 common shares, including Pre-Funded Warrants, at a price of $0.69 per share, with the aim of raising approximately $8.5 million in gross proceeds.
The offering is expected to close on Thursday, subject to customary closing conditions. The proceeds are earmarked for working capital, general corporate purposes, and to further the company's business objectives. ThinkEquity is serving as the sole placement agent for the transaction.
The sale of shares is being made under a shelf registration statement filed with the U.S. Securities and Exchange Commission (SEC) earlier this year and became effective on January 31, 2024. The final prospectus supplement and accompanying prospectus detailing the offering will be available on the SEC's website.
BriaCell has utilized an exemption according to Section 602.1 of the TSX Company Manual due to its listing on a recognized exchange, in this case, Nasdaq. This allows the company to bypass certain standards typically imposed by the Toronto Stock Exchange for transactions of this nature.
This press release, while containing forward-looking statements regarding the company's direction and the potential of its immunotherapies, emphasizes that these statements are subject to risks, uncertainties, and assumptions that could affect the actual results and the completion of the offering.
The information provided is based on a press release statement and is presented without endorsement of the company's claims. It is intended to offer a factual report of BriaCell Therapeutics Corp.'s current financial activity and future plans.
In other recent news, BriaCell Therapeutics Corp. has made significant strides in the development of its immunotherapy candidate Bria-PROS+™ for advanced prostate cancer. The U.S. Food and Drug Administration (FDA) recently offered positive feedback and waived the requirement for animal toxicology and pharmacokinetic studies. This decision simplifies the path for BriaCell to file an Investigational New Drug (IND) application and proceed with a Phase 1/2 clinical study of Bria-PROS+™.
BriaCell's plans to initiate the Phase 1/2 study, contingent upon the completion of standard manufacturing and testing requirements, were also discussed during the FDA meeting. The company's proprietary Bria-OTS+™ platform, which is being developed for other cancers, was informed by these interactions.
BriaCell is also currently evaluating another personalized immunotherapy, Bria-BRES™, in a phase 1/2a study in metastatic breast cancer. However, the company cautions that forward-looking statements regarding the therapeutic potential of Bria-PROS+™ involve risks and uncertainties. These recent developments highlight BriaCell's ongoing commitment to advancing immunotherapies in cancer care.
InvestingPro Insights
As BriaCell Therapeutics Corp. embarks on its public offering, investors may be keen to understand the company's financial health and market performance. According to InvestingPro data, BriaCell has a market capitalization of approximately $3.16 million. Despite the company's efforts to raise capital for its operations and research, the data reflects significant challenges. The company has experienced a substantial revenue decline in the last twelve months as of Q4 2024, with revenue shrinking by 47.03%. This decline is further emphasized by a quarterly revenue drop of 59.76% in Q4 2024.
InvestingPro Tips reveal that BriaCell is quickly burning through its cash reserves and is not expected to be profitable this year, which aligns with the company's reported operating income margin of -1307.55% for the same period. The stock has also been subject to high price volatility, and its price has seen a significant decrease over the past year, with a 1-year price total return of -85.45%. Additionally, the company does not pay a dividend to shareholders, which may influence the investment decisions of income-focused investors.
Despite these challenges, BriaCell has seen a strong return over the last month, with a 1-month price total return of 14.29%. This could indicate a potential shift in investor sentiment or market dynamics that may be worth monitoring. For investors interested in a deeper analysis, there are additional InvestingPro Tips available at InvestingPro that can provide further insights into BriaCell's financials and market position.
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