Quoin Pharmaceuticals Announces Private Placement Financing of Up to $104.5 Million

Core Viewpoint - Quoin Pharmaceuticals Ltd. has entered into a securities purchase agreement to potentially raise up to $104.5 million through PIPE financing, aimed at supporting its clinical development and general corporate purposes [1][6]. Financing Details - The financing includes participation from several healthcare-focused institutional investors such as AIGH Capital Management, Soleus Capital, and others [1][2]. - The private placement is priced at a premium to the previous day's closing stock price, with an initial upfront funding of $16.5 million and up to an additional $88.0 million from the exercise of accompanying warrants [1][3]. Securities Issuance - Quoin will issue a total of 1,993,940 American Depository Shares (ADSs) and warrants to purchase up to 7,975,760 ADSs at a combined purchase price of $8.25 per ADS and accompanying warrants [3][4]. - Certain investors are opting for pre-funded warrants at a slightly lower price of $8.2499 per warrant [4]. Warrant Structure - The accompanying warrants consist of four tranches, each with specific exercise prices and expiration conditions related to the FDA's approval process for QRX003, a treatment for Netherton Syndrome [5]. - Series H warrants have an exercise price of $9.075, Series I at $10.3125, and Series J and K at $12.375, with aggregate exercise prices of up to $18.1 million, $20.6 million, and $49.4 million respectively [5]. Use of Proceeds - The net proceeds from the private placement will be used for general corporate purposes, including operating expenses, research and development, and completion of clinical development for QRX003 [6]. Company Overview - Quoin Pharmaceuticals Ltd. is focused on developing therapeutic products for rare and orphan diseases, with a pipeline that includes treatments for conditions such as Netherton Syndrome and others [9].