GT Biopharma announces warrant exercises and new warrant issuance, raising approximately $0.7 million for corporate purposes.
Quiver AI Summary
GT Biopharma, Inc. announced that it has entered into agreements to exercise existing warrants for a total of 302,069 shares of its common stock at an exercise price of $4.35, which were issued in May 2024. The company expects to raise approximately $0.7 million from this exercise, with H.C. Wainwright & Co. serving as the exclusive placement agent. In exchange for the cash exercise, GT Biopharma will issue new unregistered warrants to purchase up to 604,138 shares at an exercise price of $2.02. The offering is anticipated to close around February 27, 2025, pending standard closing conditions. The net proceeds will be used for working capital and general corporate purposes, while the newly issued warrants will not be registered under the Securities Act. GT Biopharma focuses on immuno-oncology therapies utilizing its proprietary TriKE® NK cell engager platform.
Potential Positives
- GT Biopharma has secured approximately $0.7 million in gross proceeds through the exercise of existing warrants, which can enhance the company's liquidity and support its operational activities.
- The issuance of new unregistered warrants allows the company to potentially raise further capital, strengthening its financial position for ongoing and future projects.
- The company plans to use the net proceeds from the offering for working capital and general corporate purposes, indicating a focus on sustaining and potentially expanding its business operations.
- The press release indicates a step forward in the company's capital strategy, maintaining engagement with investors through the issuance of new warrants and addressing the potential for future financing needs.
Potential Negatives
- Entering into agreements for new warrants at a lower exercise price ($2.02) than the previous warrants ($4.35) suggests potential dilution for existing shareholders.
- The press release indicates a reliance on private placements for capital, which can limit transparency and may be viewed unfavorably by investors.
FAQ
What are the details of the new warrant offering by GT Biopharma?
GT Biopharma announced a new warrant offering with 604,138 shares at an exercise price of $2.02 per share.
How much capital is GT Biopharma expecting from the warrant exercise?
The company expects approximately $0.7 million from the exercise of existing warrants.
What is the purpose of the proceeds from the offering?
The proceeds will be used for working capital and general corporate purposes.
When is the warrant offering expected to close?
The offering is expected to close on or about February 27, 2025, pending customary conditions.
Where can I find more information about GT Biopharma?
More information can be found on GT Biopharma’s website at gtbiopharma.com.
Disclaimer: This is an AI-generated summary of a press release distributed by GlobeNewswire. The model used to summarize this release may make mistakes. See the full release here.
$GTBP Hedge Fund Activity
We have seen 6 institutional investors add shares of $GTBP stock to their portfolio, and 5 decrease their positions in their most recent quarter.
Here are some of the largest recent moves:
- SUSQUEHANNA INTERNATIONAL GROUP, LLP removed 10,105 shares (-100.0%) from their portfolio in Q4 2024, for an estimated $30,820
- MORGAN STANLEY added 3,267 shares (+1228.2%) to their portfolio in Q4 2024, for an estimated $9,964
- NEWBRIDGE FINANCIAL SERVICES GROUP, INC. added 1,750 shares (+inf%) to their portfolio in Q4 2024, for an estimated $5,337
- TOWER RESEARCH CAPITAL LLC (TRC) added 1,274 shares (+77.5%) to their portfolio in Q4 2024, for an estimated $3,885
- UBS GROUP AG added 1,093 shares (+28.0%) to their portfolio in Q4 2024, for an estimated $3,333
- BANK OF MONTREAL /CAN/ removed 921 shares (-3.1%) from their portfolio in Q4 2024, for an estimated $2,809
- GEODE CAPITAL MANAGEMENT, LLC removed 142 shares (-0.9%) from their portfolio in Q4 2024, for an estimated $433
To track hedge funds' stock portfolios, check out Quiver Quantitative's institutional holdings dashboard.
Full Release
SAN FRANCISCO, CALIFORNIA, Feb. 25, 2025 (GLOBE NEWSWIRE) -- GT Biopharma, Inc. (the “Company”) (NASDAQ: GTBP), a clinical stage immuno-oncology company focused on developing innovative therapeutics based on the Company's proprietary TriKE
®
natural killer (“NK”) cell engager platform, today announced that it has entered into definitive agreements for the exercise of certain existing warrants to purchase an aggregate of 302,069 shares of its common stock having an exercise price of $4.35 per share, originally issued in May 2024. The resale of the shares of common stock issuable upon exercise of the existing warrants is registered pursuant to an effective registration statement on Form S-1 (File No. 333-280326). The gross proceeds to the Company from the exercise of the existing warrants are expected to be approximately $0.7 million, prior to deducting placement agent fees and offering expenses payable by the Company.
H.C. Wainwright & Co. is acting as the exclusive placement agent for the offering.
In consideration for the immediate exercise of the existing warrants for cash at an exercise price of $2.27 per share, the Company will issue new unregistered warrants to purchase up to an aggregate of 604,138 shares of common stock. The new warrants will be immediately exercisable at an exercise price of $2.02 per share. The new warrants to purchase 302,069 shares of common stock will have a term of five years from the issuance date, and the new warrants to purchase 302,069 shares of common stock have a term of eighteen months from the issuance.
The offering is expected to close on or about February 27, 2025, subject to satisfaction of customary closing conditions. The Company intends to use the net proceeds from the offering for working capital and other general corporate purposes.
The new warrants described above are being offered in a private placement under Section 4(a)(2) of the Securities Act of 1933, as amended (the “Securities Act”), and Regulation D promulgated thereunder and, along with the shares of common stock issuable upon exercise of the new warrants, have not been registered under the Securities Act, or applicable state securities laws. Accordingly, the new warrants issued in the private placement and the shares of common stock underlying the new warrants may not be offered or sold in the United States except pursuant to an effective registration statement or an applicable exemption from the registration requirements of the Securities Act and such applicable state securities laws. The Company has agreed to file a registration statement with the Securities and Exchange Commission covering the resale of the shares of common stock issuable upon the exercise of the new warrants.
This press release does not constitute an offer to sell or a solicitation of an offer to buy these securities, nor shall there be any sale of these securities in any state or other jurisdiction in which such offer, solicitation or sale would be unlawful prior to the registration or qualification under the securities laws of any such state or other jurisdiction.
About GT Biopharma, Inc.
GT Biopharma, Inc. is a clinical stage biopharmaceutical company focused on the development and commercialization of immuno-oncology therapeutic products based on our proprietary TriKE
®
NK cell engager platform. Our TriKE
®
platform is designed to harness and enhance the cancer killing abilities of a patient’s immune system’s natural killer cells. GT Biopharma has an exclusive worldwide license agreement with the University of Minnesota to further develop and commercialize therapies using TriKE
®
technology. For more information, please visit
gtbiopharma.com
.
Forward-Looking Statements
Certain statements in this press release may constitute "forward-looking statements" regarding future events and our future results. All statements other than statements of historical facts are statements that could be deemed to be forward-looking statements. These statements, including, but not limited to, statements regarding the completion of the offering, the satisfaction of customary closing conditions related to the offering and the anticipated use of proceeds therefrom, are based on current expectations, estimates, forecasts, and projections about the markets in which we operate and the beliefs and assumptions of our management. Words such as "expects," "anticipates," "targets," "goals," "projects", "intends," "plans," "believes," "seeks," "estimates," "endeavors," "strives," "may," or variations of such words, and similar expressions are intended to identify such forward-looking statements. Readers are cautioned that these forward-looking statements are subject to a number of risks, uncertainties and assumptions that are difficult to predict, estimate or verify. Therefore, actual results may differ materially and adversely from those expressed in any forward-looking statements. Such risks and uncertainties include those factors described in our most recent annual report on Form 10-K, as such may be amended or supplemented by subsequent quarterly reports on Form 10-Q, or other reports filed with the Securities and Exchange Commission. Readers are cautioned not to place undue reliance on these forward-looking statements. The forward-looking statements are made only as of the date hereof, and we undertake no obligation to publicly release the result of any revisions to these forward-looking statements, except as required by law. For more information, please refer to our filings with the Securities and Exchange Commission.
TriKE
®
is a registered trademark owned by GT Biopharma, Inc.
Investor Relations Contact:
LifeSci Advisors
Corey Davis, Ph.D.
cdavis@lifesciadvisors.com
212-915-2577
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