HOUSTON, Dec. 30, 2024 (GLOBE NEWSWIRE) — FibroBiologicks, Inc. (Nasdaq: FBLG) (“FibroBiologics”), a clinical biotechnology company with more than 160 issued and pending patents focused on the development of therapeutics and potential cures for chronic diseases using fibroblasts and fibroblast-derived materials, announced that it has entered into an agreement to acquire equity standby (SEPA) with the investment fund YA II PN LTD (Yorkville), managed by Yorkville Advisors Global, LP aggregate of its common shares in Yorkville over two years.
Yorkville has agreed to advance to FibroBiologicks the first $15 million available under SEPA in three equal tranches to be evidenced by convertible debentures. The first tranche in the amount of 5 million dollars was financed by joining SEPA. Subject to the satisfaction of certain conditions, the second tranche of $5 million will be funded upon the filing of a registration statement covering the resale of shares issuable to Yorkville under the debentures, and the third tranche of $5 million will be funded upon the effective date of the registration statement and receipt shareholder approvals in accordance with Nasdaq rules. FibroBiologicks may sell an additional $10 million of its common stock to Yorkville, subject to Yorkville’s consent and other conditions, while the convertible debentures remain outstanding.
“Initial progress from this funding will allow us to complete our first-in-human diabetic foot ulcer trial as well as IND-enabling studies for our psoriasis program,” said Pete O’Heeron, founder and chief executive officer of FibroBiologics. We expect to further develop the human longevity, multiple sclerosis and cancer indications using the remaining capital available under SEPA.
For more information, visit the FibroBiologics website or email FibroBiologicks at: info@fibrobiologics.com. For more information about SEPA, including important terms and conditions, see FibroBiologicks’ filings with the Securities and Exchange Commission, including its current reports on Form 8-K filed periodically with the Securities and Exchange Commission.
This communication will not constitute an offer to sell or the solicitation of an offer to buy, nor will there be any sale of the securities referred to herein, in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the laws of securities of any such jurisdiction.
Cautionary Statement Regarding Forward-Looking Statements
This communication contains “forward-looking statements” as defined in the Private Securities Litigation Reform Act of 1995. Forward-looking statements include information about financing advances under SEPA, the ability of FibroBiologics to sell additional shares under SEPA’s and FibroBiologicks’ ability to complete clinical trials and studies that enable IND and develop other programs and indications. These forward-looking statements are based on the current expectations, estimates, projections and beliefs of FibroBiologicks management, as well as a number of assumptions regarding future events. These forward-looking statements are not guarantees of future performance, conditions or results and involve numerous known and unknown risks, uncertainties, assumptions and other important factors, many of which are beyond the control of FibroBiologiks management, which could cause actual results to differ materially from those results. discussed in forward-looking statements, including those set forth under the heading “Risk Factors” and elsewhere in FibroBiologicks’ annual, quarterly and current reports (ie, Form 10-K, Form 10-Q and Form 8-K) as filed or filed with the SEC and all subsequent public filings. Copies are available on the SEC’s website, www.sec.gov. These risks, uncertainties, assumptions and other important factors include, but are not limited to: (a) risks related to FibroBiologiks’ liquidity and its ability to maintain capital resources sufficient to conduct its business; (b) expectations regarding the initiation, progress and expected results of our research and development and preclinical studies; (c) unpredictable relationship between research and development and preclinical and clinical study results; and (d) FibroBiologics’ ability to satisfy the requirements under SEPA and related agreements. Forward-looking statements speak only as of the date they are made. Readers are cautioned not to place undue reliance on forward-looking statements, and FibroBiologics undertakes no obligation and, except as required by law, does not intend to update or revise these forward-looking statements, whether as a result of new information, future events or otherwise. FibroBiologicks does not guarantee that it will meet its expectations.
About FibroBiologics
Based in Houston, FibroBiologicks is a clinical biotechnology company developing a range of treatments and potential cures for chronic diseases using fibroblast cells and fibroblast-derived materials. FibroBiologicks holds more than 160 US and international patents/patents pending for various clinical pathways, including disc degeneration, orthopedics, multiple sclerosis, psoriasis, wound healing, organ de-involution and cancer. FibroBiologicks represents the next generation of medical advances in cell therapy. For more information, visit www.FibroBiologis.com.
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Source: D. Boral Capital
