Harpoon Therapeutics Announces Private Placement Of Up To $150 Mln

(RTTNews) - Immunotherapy company Harpoon Therapeutics, Inc. (HARP) announced Monday that it has entered into a securities purchase agreement for a private placement in public equity (PIPE) financing that is expected to result in upfront gross proceeds of approximately $100 million, with up to an additional approximately $50 million of gross proceeds upon cash exercise of warrants, before deducting placement agent fees and offering expenses.

The PIPE financing was led by a leading biotechnology investor associated with one of the largest alternative asset managers, with participation from new and existing investors including Soleus Capital, Commodore Capital, New Leaf Venture Partners, Cormorant Asset Management, RA Capital Management, Invus, Surveyor Capital (a Citadel company), K2 HealthVentures, Ally Bridge Group, Lion Point Capital, and a large mutual fund.

Pursuant to terms of the securities purchase agreement, at the closing of the financing, the Company will issue an aggregate of 17.17 million shares of its common stock and accompanying warrants to purchase up to an aggregate of 8.58 million shares of its common stock, at a combined purchase price of $5.8345 per share and accompanying warrant.

The accompanying warrants will be exercisable upon issuance for a period of three years following the date of issuance. The accompanying warrants are only exercisable in cash. The PIPE financing is expected to close on or about October 25, 2023, subject to satisfaction of customary closing conditions.

The Company intends to use the net proceeds to fund its clinical development programs from its platforms, including ongoing as well as future late-stage clinical studies of HPN328. The proceeds will also be used for working capital and other general corporate purposes.

The aggregate proceeds from this financing, combined with current cash and cash equivalents, are expected to be sufficient to fund the current operating plan into 2026.