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2024-12-27 22:15
Vor Bio (NASDAQ:VOR) shares soared more than 20% in Friday pre-market trading, after it said that it has entered into a securities purchase agreement for a private investment in public equity financing (the PIPE) that is expected to result in gross proceeds of approximately $55.6M.
Pursuant to the terms of the securities purchase agreement, at the closing of the PIPE, Vor Bio (VOR) will issue an aggregate of 55.9M shares of common stock and accompanying warrants to purchase an aggregate of 69.84M shares of common stock at a combined price of $0.99425 per share and accompanying warrants.
The warrants will have a per share exercise price of $0.838 and may be exercised at any time on or after the closing date and through the seventh anniversary of the closing date. If exercised for cash, the warrants would result in additional gross proceeds to Vor Bio of up to approximately $58.5 million.
The PIPE was led by new investor, Reid Hoffman, and included participation from existing investor and Vor Bio’s largest stockholder, RA Capital Management.In addition, as part of the PIPE, each of Hoffman, or his duly appointed nominee, and RA Capital Management are being granted one board seat and one board observer seat.
Vor Bio expects to use net proceeds from the PIPE to fund clinical and preclinical development of its pipeline candidates and for general corporate purposes.
Vor Bio expects to announce updated clinical data from the Phase 1/2 VBP301 trial of VCAR33 in the first half of 2025 and updated clinical data from the Phase 1/2a VBP101 trial of trem-cel in combination with Mylotarg in the second half of 2025.