Akari Therapeutics Announces $5 Million Financing, Including Concurrent Registered Direct Offering and Private Placement Priced At-Market

Core Viewpoint - Akari Therapeutics has announced a definitive agreement for the issuance and sale of approximately 12.6 million American Depositary Shares (ADSs) and unregistered warrants, with significant participation from its Directors, Officers, and Executive Management, aimed at supporting its oncology drug development initiatives and improving its capital structure [1][4][6]. Group 1: Offering Details - The offering includes 10,043,774 ADSs in a registered direct offering priced at $0.3883 per ADS, along with unregistered Series G warrants [3]. - A concurrent private placement will issue unregistered pre-funded warrants for 2,563,713 ADSs at a combined price of $0.4041 per ADS [3]. - The gross proceeds from the offering are expected to be around $5 million, with over $1 million coming from new cash investments by the Company's Directors, Officers, and Executive Management [4]. Group 2: Use of Proceeds - The net proceeds from the offering will be utilized for ongoing research and development, working capital, and general corporate purposes [4]. Group 3: Debt Conversion - Existing note holders have agreed to convert approximately $2.5 million of the Company's outstanding debt into unregistered pre-funded warrants and warrants to purchase 6,409,410 ADSs at a combined exchange price of $0.4041 per ADS [5]. Group 4: Company Overview - Akari Therapeutics is focused on developing next-generation spliceosome payload antibody drug conjugates (ADCs), with its lead candidate AKTX-101 targeting the Trop2 receptor on cancer cells [10]. - The novel payload PH1 is designed to disrupt RNA splicing within cancer cells, showing significant activity and prolonged survival in preclinical studies compared to traditional ADCs [10].