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PolyPid Ltd. Reports $14.5M Private Placement Offering to Fuel Clinical Trials

$PYPD
Form 6-K
Filed on: 2024-12-26
Source
PolyPid Ltd. Reports $14.5M Private Placement Offering to Fuel Clinical Trials

Here are the key insights extracted from the financial report of PolyPid Ltd. (Form 6-K):

  1. Company Overview:
  • Name: PolyPid Ltd.
  • Location: 18 Hasivim Street, Petach Tikva 495376, Israel.
  1. Report Type:
  • This is a Form 6-K, which is a report of a foreign private issuer filed with the SEC.
  1. Private Placement Offering:
  • Date of Agreement: December 23, 2024.
  • Type of Offering: Definitive securities purchase agreement for a private placement financing led by existing institutional shareholders.
  • Shares Offered: 4,493,830 ordinary shares at a purchase price of $3.22 per share or pre-funded warrants in lieu thereof.
  • Warrants: Investors will receive warrants to purchase up to 6,740,745 ordinary shares at an exercise price of $4.00 per share.
  1. Financial Highlights:
  • Gross Proceeds Expected: $14.5 million from the sale of ordinary shares.
  • Potential Additional Proceeds: If warrants are exercised in full, an additional $27 million could be raised.
  • Use of Proceeds: Funds will be used for the ongoing SHIELD II Phase 3 clinical trial, working capital, and general corporate purposes.
  1. Closing of the Offering:
  • Expected to occur on or about December 26, 2024, subject to customary closing conditions.
  1. Placement Agent:
  • Advisor: Citizens JMP acted as the exclusive financial advisor and placement agent.
  • Fees: A cash placement fee of 7.0% of the gross proceeds, plus reimbursement of certain expenses up to $50,000.
  1. Regulatory Compliance:
  • The securities have not been registered under the Securities Act of 1933 and may not be sold in the U.S. without registration or an exemption.
  • The Company plans to file a registration statement with the SEC for the resale of the ordinary shares and underlying warrants.
  1. Related Documents:
  • The report includes attached exhibits detailing the press release, the securities purchase agreement, registration rights agreement, form of warrants, and pre-funded warrants.
  1. Signatures:
  • The report is signed by Dikla Czaczkes Akselbrad, Chief Executive Officer, dated December 26, 2024.

This report signifies a strategic move by PolyPid Ltd. to raise funds through a private placement, which can potentially strengthen its financial position for ongoing clinical trials and operations.