Princeton, New Jersey-based PDS Biotechnology Corporation (Nasdaq: PDSB) announced the initial closing of a PIPE financing led by Nant Capital, LLC, raising USD 11.3 million toward a total potential raise of up to USD 22.3 million. Proceeds are earmarked to advance PDS0301, a tumor-targeted interleukin-12 (IL-12) immunocytokine that PDS has prioritized for late-stage development in solid tumors, while also funding debt repayment, working capital, and general corporate purposes.

Units were priced at USD 0.2825 per share plus a half-warrant, with pre-funded warrant units priced at USD 0.28217. The initial closing issued 16,502,870 common shares, 23,498,156 pre-funded warrants, and 20,000,514 accompanying common warrants. A contingent milestone closing — obligating Nant Capital to contribute USD 10 million and AB Group Ltd. to contribute USD 1 million — will be triggered upon PDS Biotech's submission of a registrational Phase III clinical trial protocol for PDS0301 to the FDA, co-designed with Nant. As part of the transaction, NantWorks, LLC received a one-year exclusive option to negotiate a license to PDS0101, PDS Biotech's HPV-targeted cancer vaccine, following the company's earlier decision to discontinue internal investment in PDS0101's Phase III development and seek external partners.

PDS0301 is being evaluated in an NCI-led Phase II study in microsatellite stable (MSS) and mismatch repair-proficient (pMMR) metastatic colorectal cancer with liver metastases. In a 22-patient cohort, PDS reported an approximately 80% 24-month survival rate after PDS0301 was added to standard-of-care therapy, although the result comes from a small, non-randomized study and has not been confirmed in a head-to-head trial. The PIPE includes a further USD 11 million contingent closing that would be triggered by PDS Biotech submitting a registrational Phase III protocol for PDS0301 to the FDA, designed in collaboration with Nant.

Concurrent with the initial closing, Dr. Patrick Soon-Shiong, founder of NantWorks and executive chairman of ImmunityBio (Nasdaq: IBRX), and James Banaag, chief financial officer of NantBio, Inc., joined PDS Biotech's board of directors. Nant Capital retains the right to designate two board members for as long as it holds 15% or more of PDS Biotech's outstanding common stock.

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