SAN DIEGO - Skye Bioscience, Inc. (OTCQB: SKYE), a biotechnology firm engaged in the development of therapeutics that target the endocannabinoid system, has announced a private placement deal expected to generate $40 million in gross proceeds.
The agreement involves the sale of 4 million shares of common stock at $10.00 per share to certain qualified institutional buyers, set to close on March 13, 2024, pending customary closing conditions.
The investors participating in this private investment in public equity (PIPE) include Perceptive Advisors, Velan Capital, Schonfeld Strategic Advisors, and several existing Skye shareholders such as 5AM Ventures, Altium Capital, and Sphera Healthcare. Piper Sandler & Co. is serving as the lead placement agent, with Oppenheimer & Co. also acting as a placement agent.
Skye's CEO and Chair Punit Dhillon expressed that the capital from this PIPE, in addition to funding from a January PIPE, will support Phase 2 clinical trials for obesity and glaucoma. The company is focusing on the strategic development of nimacimab, a monoclonal antibody and peripheral CB1 inhibitor, which they believe has unique properties within its mechanism class. Dhillon also highlighted the addition of significant healthcare-focused institutional shareholders to their base.
Skye Bioscience is known for its work on diseases with metabolic, inflammatory, and fibrotic processes, aiming to create first-in-class therapeutics. The company's nimacimab has completed a Phase 1 study with a favorable safety profile. A Phase 2 clinical trial in obesity is planned for mid-2024, which will include both monotherapy and combination treatments with a GLP-1R agonist.
Skye has also completed enrollment for a Phase 2 trial of SBI-100 Ophthalmic Emulsion in patients with glaucoma and ocular hypertension, with topline data expected in the second quarter of 2024.
This news article is based on a press release statement from Skye Bioscience and does not constitute an offer to sell or a solicitation of an offer to buy any securities.
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