Precigen secures $79 million in private placement
The information contained in this article is based on a press release statement from Precigen (NASDAQ:), Inc. The company specializes in gene and cell therapies targeting immuno-oncology, autoimmune disorders, and infectious diseases. Precigen has cautioned that forward-looking statements in the press release are subject to various factors that could cause actual results to differ, underscoring the inherent risks in such financial projections. For a deeper understanding of Precigen’s financial health and growth prospects, InvestingPro subscribers can access comprehensive analysis including 12 additional ProTips and detailed financial metrics in the Pro Research Report, helping investors make more informed decisions about this volatile biotech stock. For a deeper understanding of Precigen’s financial health and growth prospects, InvestingPro subscribers can access comprehensive analysis including 12 additional ProTips and detailed financial metrics in the Pro Research Report, helping investors make more informed decisions about this volatile biotech stock.
The information contained in this article is based on a press release statement from Precigen, Inc. The company specializes in gene and cell therapies targeting immuno-oncology, autoimmune disorders, and infectious diseases. Precigen has cautioned that forward-looking statements in the press release are subject to various factors that could cause actual results to differ, underscoring the inherent risks in such financial projections. For a deeper understanding of Precigen’s financial health and growth prospects, InvestingPro subscribers can access comprehensive analysis including 12 additional ProTips and detailed financial metrics in the Pro Research Report, helping investors make more informed decisions about this volatile biotech stock.
Investors in this round will also receive warrants for purchasing over 52 million shares of common stock at $0.75 per share. The Preferred Stock will accrue dividends annually, with the first two years being paid in kind, and will be redeemable at Precigen’s discretion. Additionally, after a six-month period and shareholder approval, the Preferred Stock will be convertible into common stock at an initial price of approximately $1.125 per share, an amount adjustable based on the common stock’s valuation.
This private placement did not involve a placement agent, underwriter, broker, or dealer, and the securities have not been registered under the Securities Act of 1933. The offering was made under an exemption, and the securities cannot be sold in the U.S. without registration or an exemption. The investors will be granted registration rights for the Preferred Stock and common stock upon conversion or warrant exercise.
The information contained in this article is based on a press release statement from Precigen, Inc. The company specializes in gene and cell therapies targeting immuno-oncology, autoimmune disorders, and infectious diseases. Precigen has cautioned that forward-looking statements in the press release are subject to various factors that could cause actual results to differ, underscoring the inherent risks in such financial projections.
In other recent news, Precigen, Inc. has made significant strides in its operations and strategic endeavors. The company recently completed the sale of certain assets, including intellectual property and royalty rights related to FCX-007, to Innovator 21, LLC for $8.5 million. This move comes as Precigen navigates the competitive landscape of the pharmaceutical industry, with the proceeds from the sale being directed towards working capital and general corporate purposes.
The company also terminated its Amended and Restated License Agreement with Alaunos Therapeutics, Inc., effectively reclaiming all previously licensed rights. In addition to these developments, Precigen has been progressing in its PRGN-2012 gene therapy program for recurrent respiratory papillomatosis. Clinical trials have shown promising results, with more than half of the patients demonstrating a complete response and a significant reduction in surgeries.
On the financial front, the company has implemented cost-saving measures and workforce reduction, raising $31.4 million through an equity issuance. This move is expected to extend its cash runway into early 2025. Precigen has also granted performance stock units to key executives, contingent upon meeting specific operational milestones related to PRGN-2012.
H.C. Wainwright, an independent analyst firm, has maintained a Buy rating for Precigen, with projections indicating PRGN-2012 generating risk-adjusted revenue in 2026, estimated at $106 million, and growing to $521 million by 2030. These recent developments underscore Precigen’s commitment to advancing its gene therapy program and maintaining financial stability.
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