Kadimastem Raises NIS 22.3 Million ($6.8 Million) with a Total Potential of NIS 53.4 Million ($16 Million) with Warrants in a Private Placement Institutional investors Alpha Capital Anstalt and Clover Wolf Capital led the private placement
NESS ZIONA, ISRAEL
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April 26, 2021 07:00 AM Eastern Daylight Time
Kadimastem Ltd. (TASE: KDST), a clinical stage cell therapy company, has raised NIS 22.3 million ($6.8 million) in a private placement led by institutional investors Alpha Capital Anstalt and Clover Wolf Capital. As part of the agreement for their investment, participants received shares as well as NIS 31.1 million ($9 million) collectively in options. This brings this financing to a potential total of NIS 53.4 million ($16 million) collective investment.
The financing will enable Kadimastem to expedite its research and development programs for both lead indications, AstroRx® for the treatment of ALS, and IsletRx, intended to cure Type 1 diabetes. The financing will also enable the company to advance its business development efforts in the US.
Kadimastem CEO Asaf Shiloni said, “The financing announced is a clear demonstration of trust in Kadimastem’s new leadership team and its ability to lead the company to success, as well as in the company's technology and the capabilities of its talented scientific team. We believe that this investment will enable us to significantly advance the clinical development of our lead product candidates, which we anticipate could improve the quality of life of millions of patients worldwide.”
Mr. Shiloni continued, “Kadimastem’s board of directors and management consider today’s news, an important step in achieving international recognition of its capabilities and the company's business plan."
Kadimastem Chairman of the Board Ronen Twito said, “Today’s private placement is indicative of the strength of Kadimastem’s new leadership and the high quality of the company’s science, R&D and clinical programs. Alpha Capital Anstalt and Clover Wolf Capital are known for investing in leading and successful technology and specifically biotechnology companies. We would like to officially welcome them to the Kadimastem family.”
About Kadimastem:
Kadimastem is a clinical stage cell therapy company, developing and manufacturing "off-the-shelf", allogeneic, proprietary cell products based on its technology platform for the expansion and differentiation of Human Embryonic Stem Cells (hESCs) into functional cells. AstroRx®, the Company's lead product, is an astrocyte cell therapy in clinical development as a treatment for ALS. IsletRx is the Company's second product in development. IsletRx is comprised of functional pancreatic islet cells intended to treat patients with insulin dependent diabetes. IsletRx demonstrated safety and efficacy in a proof-of-concept preclinical study. Kadimastem was founded by Professor Michel Revel, CSO of the Company and Professor Emeritus of Molecular Genetics at the Weizmann Institute of Science. Professor Revel received the Israel Prize for the invention and development of Rebif®, a multiple sclerosis blockbuster drug sold worldwide. Kadimastem is traded on the Tel Aviv Stock Exchange (TASE: KDST).
Forward Looking Statement:
This document may include forward-looking information as defined in the Securities Law, 5728 – 1968. Forward-looking information is uncertain and mostly is not under the Company's control and the realization or non-realization of forward-looking information will be affected, among other things, by the risk factors characterizing the Company's activity, as well as developments in the general environment and external factors affecting the Company's activity. The Company's results and achievements in the future may differ materially from any presented herein and the Company makes no undertaking to update or revise such projection or estimate and does not undertake to update this document. This document does not constitute a proposal to purchase the Company's securities or an invitation to receive such offers. Investment in securities in general and in the Company in particular bears risks. One should consider that past performance does not necessarily indicate performance in the future.
Contact Details
Kadimastem Ltd.
Asaf Shiloni
+972 73-797-1613
Must Have Communications
Marjie Hadad
+19177901178
