Calidi Biotherapeutics Announces Closing of $7.5 Million Public Offering of Common Stock

Rhea-AI Summary

Calidi Biotherapeutics (NYSE American: CLDI), a clinical-stage biotechnology company focused on targeted antitumor virotherapies, has completed its previously announced public offering of 4,437,869 shares of common stock. The shares were priced at $1.69 per share, generating gross proceeds of approximately $7.5 million. Ladenburg Thalmann & Co. Inc. served as the exclusive placement agent for the offering, which was conducted under an effective Form S-3 registration statement.

Positive

• Successfully raised $7.5 million in gross proceeds through public offering
• Completed offering with established financial institution as placement agent

Negative

• Potential dilution of existing shareholders due to issuance of 4,437,869 new shares

Insights

Financial Analyst

The $7.5 million capital raise through a public offering at $1.69 per share represents significant dilution for existing shareholders, with 4,437,869 new shares being issued. Given Calidi's market cap of $25.6 million, this offering increases the share count by approximately 17.3%. While the funding provides essential capital for their clinical-stage biotechnology programs, the pricing at current market levels suggests institutional interest and potential near-term selling pressure. The involvement of Ladenburg Thalmann as placement agent adds credibility, but the terms reflect challenging market conditions for small-cap biotech fundraising. This capital injection should extend their operational runway, though investors should monitor cash burn rate and clinical development milestones to assess the adequacy of this funding.

SAN DIEGO, Nov. 15, 2024 (GLOBE NEWSWIRE) -- Calidi Biotherapeutics Inc. (NYSE American: CLDI) (“Calidi”), a clinical-stage biotechnology company developing a new generation of targeted antitumor virotherapies, today announced the closing of its previously announced public offering of 4,437,869 shares of common stock at $1.69 per share for gross proceeds of approximately $7.5 million.

Ladenburg Thalmann & Co. Inc. acted as the exclusive placement agent for this offering.

The securities described above public offering were offered pursuant to registration statements on Form S-3 (File No. 333-282456), which were declared effective by the United States Securities and Exchange Commission ("SEC") on October 10, 2024. The offering was made solely by means of a prospectus. A final prospectus relating to the offering was filed with the SEC on November 15, 2024, and is available on the SEC's website located at http://www.sec.gov. Copies of the final prospectus can be obtained at the SEC's website at http://www.sec.gov or from Ladenburg Thalmann & Co. Inc. Electronic copies of the final prospectus relating to the offering may be obtained, when available, from Ladenburg Thalmann & Co. Inc., 640 Fifth Avenue, 4th Floor, New York, New York 10019, or by telephone at (212) 409-2000, or by email at prospectus@ladenburg.com. This press release does not constitute an offer to sell or the solicitation of an offer to buy, nor will there be any sales of these securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of such jurisdiction.

About Calidi Biotherapeutics

Calidi Biotherapeutics (NYSE American: CLDI) is a clinical-stage immuno-oncology company with proprietary technology designed to arm the immune system to fight cancer. Calidi’s novel stem cell-based platforms are utilizing potent allogeneic stem cells capable of carrying payloads of oncolytic viruses for use in multiple oncology indications, including high-grade gliomas and solid tumors. Calidi’s clinical stage off-the-shelf, universal cell-based delivery platforms are designed to protect, amplify, and potentiate oncolytic viruses leading to enhanced efficacy and improved patient safety. Calidi’s preclinical off-the-shelf enveloped virotherapies are designed to target disseminated solid tumors. This dual approach can potentially treat, or even prevent, metastatic disease. Calidi Biotherapeutics is headquartered in San Diego, California. For more information, please visit www.calidibio.com.

Forward-Looking Statements

This press release may contain forward-looking statements for purposes of the “safe harbor” provisions under the United States Private Securities Litigation Reform Act of 1995. Terms such as “anticipates,” “believe,” “continue,” “could,” “estimate,” “expect,” “intends,” “may,” “might,” “plan,” “possible,” “potential,” “predicts,” “project,” “should,” “towards,” “would” as well as similar terms, are forward-looking in nature, but the absence of these words does not mean that a statement is not forward-looking. These forward-looking statements include, but are not limited to, statements concerning upcoming key milestones (including the reporting of interim clinical results and the dosing of patients), planned clinical trials, and statements relating to the safety and efficacy of Calidi’s therapeutic candidates in development. Any forward-looking statements contained in this discussion are based on Calidi’s current expectations and beliefs concerning future developments and their potential effects and are subject to multiple risks and uncertainties that could cause actual results to differ materially and adversely from those set forth or implied in such forward-looking statements. These risks and uncertainties include, but are not limited to, the risk that Calidi is not able to raise sufficient capital to support its current and anticipated clinical trials, the risk that early results of clinical trials do not necessarily predict final results and that one or more of the clinical outcomes may materially change following more comprehensive review of the data, and as more patient data becomes available, the risk that Calidi may not receive FDA approval for some or all of its therapeutic candidates. Other risks and uncertainties are set forth in the section entitled “Risk Factors” and “Cautionary Note Regarding Forward-Looking Statements” in the Company’s Registration Statements filed with the SEC on (i) Form S-4 filed on August 2, 2023 and the corresponding prospectus filed on August 4, 2023, and (ii) on Form S-1 filed on April 15, 2024, and the Company’s periodic reports filed with the SEC on (i) Form 10-K filed on March 15, 2024, (ii) Form 10-Q filed on May 14, 2024, (iii) Form 10-Q filed on August 13, 2024 and (iv) Form 10-Q filed on November 12, 2024. These reports may be amended or supplemented by other reports we file with the SEC from time to time.

For Investors:

Dave Gentry, CEO
RedChip Companies, Inc.
1-407-644-4256
CLDI@redchip.com   

Source: Calidi Biotherapeutics, Inc.

FAQ

How much did Calidi Biotherapeutics (CLDI) raise in its November 2024 public offering?

Calidi Biotherapeutics raised approximately $7.5 million in gross proceeds through its public offering.

What was the price per share for CLDI's November 2024 public offering?

The public offering price was $1.69 per share.

How many shares did Calidi Biotherapeutics (CLDI) issue in its November 2024 offering?

Calidi Biotherapeutics issued 4,437,869 shares of common stock in the offering.

Who was the placement agent for CLDI's November 2024 public offering?

Ladenburg Thalmann & Co. Inc. acted as the exclusive placement agent for the offering.