Artelo Biosciences, Inc. (Nasdaq: ARTL), a clinical-stage pharmaceutical company based in Solana Beach, California, announced an Artelo $11 million private placement priced at-the-market under Nasdaq rules, generating gross proceeds of approximately USD 11.0 million before placement agent fees and other expenses. The company stated it intends to use net proceeds for working capital, general corporate purposes, and the repayment of certain bridge debt, which includes a USD 315,000 convertible promissory note previously issued to Labrys Fund II, L.P. The ARTL Nasdaq private placement is expected to close on or about March 30, 2026.
Under the terms of the ARTL stock offering, Artelo entered into definitive agreements for the sale of 3,188,407 shares of common stock, or pre-funded warrants in lieu thereof, along with Artelo Biosciences warrants to purchase up to 6,376,814 shares of common stock. The combined purchase price was USD 3.45 per share of common stock (or per pre-funded warrant) and accompanying warrants. The warrants carry an exercise price of USD 3.20 per share, are exercisable upon issuance, and expire five and one-half years from the effectiveness date of a resale registration statement the company has agreed to file. If all warrants are exercised on a cash basis, Artelo would receive additional gross proceeds of approximately USD 20.4 million. H.C. Wainwright & Co. acted as the exclusive placement agent. The identities of the purchasing investors were not disclosed in the announcement. The Artelo Biosciences stock had undergone a 1-for-3 reverse stock split effective March 10, 2026, after which approximately 708,258 shares were outstanding.
Company overview and pipeline
Artelo Biosciences is a clinical-stage company focused on the development of therapeutics that modulate lipid-signaling pathways. Its pipeline targets unmet needs across anorexia, cancer, anxiety, dermatologic conditions, pain, inflammation, and diseases of the eye. The company's lead asset is ART27.13, a peripherally selective synthetic cannabinoid. ART27.13 has been evaluated in cancer-related anorexia and cachexia indications. On March 18, 2026, Artelo entered into a definitive investigator-initiated study agreement with the Belfast Health and Social Care Trust to evaluate ART27.13 in patients with glaucoma or ocular hypertension. That pilot, randomized, cross-over study will be conducted by the Northern Ireland Clinical Trials Unit and led by Professor Augusto Azuara-Blanco at Queen's University Belfast. The study is fully funded by third parties, specifically Glaucoma UK and the HSC Research and Development Division, with first patient enrollment anticipated in Q2 2026. This represents Artelo's entry into the ophthalmology space at no direct study cost to the company. Prior to this Artelo Biosciences private placement, the company closed a USD 3.0 million public offering in September 2025 to support near-term operations.
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