BOCA RATON, FL - INmune Bio, Inc. (NASDAQ: INMB), a clinical-stage immunology company, has announced definitive agreements for a combined sale of shares and warrants, to raise approximately $9.7 million in gross proceeds, the company disclosed Thursday. The offering includes 986,000 shares of common stock and equal warrants, with each share priced at $9.84, inclusive of a $0.125 per warrant charge.
The warrants have a unique feature that accelerates their expiration upon the release of positive top-line results from the company’s ongoing Phase 2 Alzheimer’s Disease program. The termination of the warrants is set for the earlier of two years post-initial exercise or thirty days following the announcement of positive data from this trial.
Scheduled to close around April 29, 2024, this capital raise is expected to fund the company's continued research, particularly the Phase 2 trial for Early Alzheimer’s Disease using their XPro™ technology and a Phase 1 trial for metastatic castration-resistant prostate cancer (mCRPC) using INKmune technology.
Maxim (NASDAQ:MXIM) Group LLC is serving as the sole placement agent for this transaction. The offering is being conducted under an existing shelf registration statement previously filed with and declared effective by the U.S. Securities and Exchange Commission (SEC). A detailed prospectus supplement related to the offering will be filed with the SEC.
INmune Bio focuses on developing treatments that harness the patient’s innate immune system to fight disease. Its product platforms include DN-TNF candidates aimed at treating cancer, Early Alzheimer's disease, and treatment-resistant depression, and a Natural Killer Cell Priming Platform designed to eliminate minimal residual disease in cancer patients.
The information in this article is based on a press release statement from INmune Bio, Inc.
InvestingPro Insights
In light of INmune Bio, Inc.'s recent capital raise efforts, InvestingPro data and tips offer valuable insights into the company's financial health and stock performance. With a market capitalization of $193.32 million, INMB is navigating the biotech landscape with strategic funding initiatives. Despite a challenging revenue growth trajectory, with revenue for the last twelve months as of Q4 2023 standing at $0.15 million and witnessing a decline of 58.56%, the company's financial maneuvers, such as the recent share and warrant sale, are geared towards fueling its ongoing clinical programs.
Investors might find the company’s cash position reassuring, as INMB holds more cash than debt on its balance sheet, which is a positive sign of financial stability. Additionally, the company's liquid assets exceed its short-term obligations, providing a cushion for operational expenses. These metrics suggest a degree of financial prudence that is critical for a clinical-stage company facing the inherent uncertainties of drug development.
On the stock performance front, INMB has demonstrated significant returns, with a 20.68% increase over the last week and a notable 50.64% return over the last year. Such movements highlight the stock's volatility and potential for high returns, though they also underscore the risks associated with investing in the biotech sector.
For investors seeking a more in-depth analysis, there are additional InvestingPro Tips available which could provide further guidance on INMB's stock potential. For instance, while analysts do not anticipate the company will be profitable this year, the stock has experienced a large price uptick over the last six months, indicating investor optimism about the company's prospects. Furthermore, the company's stock is trading at a high revenue valuation multiple, which could be of interest to investors looking for growth potential in their portfolio.
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