Denmark-based Galecto, Inc. (Nasdaq: GLTO) announced the pricing of an underwritten public offering with total gross proceeds of USD 27.5 million. The offering is expected to close on February 13, 2026, subject to customary closing conditions. Galecto intends to utilize the net proceeds to support the clinical development of its pipeline candidates, for working capital, and for other general corporate purposes.

The offering consists of 22,000,000 shares of common stock priced at USD 1.25 per share. In a concurrent private placement, the company is issuing warrants to purchase up to an additional 22,000,000 shares of common stock at an exercise price of USD 1.50 per share. These warrants will be exercisable immediately upon issuance and will expire five years from the date of issuance. The financing was led by institutional investors including Oppenheimer & Co. and OrbiMed, with participation from existing shareholders and company insiders.

Company overview

Galecto is a clinical-stage biotechnology company headquartered in Copenhagen, Denmark, focused on developing small molecule therapeutics for fibrosis, inflammation, and cancer. The company’s lead asset is GB2064, an oral LOXL2 inhibitor currently being evaluated in a Phase IIa clinical trial for the treatment of myelofibrosis. The mechanism of action involves the inhibition of the lysyl oxidase-like 2 enzyme to reduce the cross-linking of collagen fibers in the bone marrow. Top-line data from the intermediate assessment of this trial is expected in the second half of 2026.

The company is also developing GB1211, an oral galectin-3 inhibitor currently in Phase II development for the treatment of liver cirrhosis and non-small cell lung cancer. This asset is based on Galecto’s proprietary platform designed to target galectin proteins and LOXL enzymes that drive pathological fibrosis and tumor progression. Other pipeline assets include GB1306, a galectin-3 inhibitor for the treatment of visceral fibrosis, which is in the preclinical stage. Galecto has recently focused its business development efforts on streamlining its portfolio to prioritize those assets with the highest probability of clinical success in high-unmet-need indications.