TapImmune Inc. signed a private placement agreement with institutional investors to raise about $70 million.
Private equity firm New Enterprise Associates will lead the placement, and Aisling Capital Management LP and Perceptive Advisors LLC will participate, along with other investors.
The Jacksonville, Fla.-based immunotherapy-focused company will issue 17.5 million common shares, priced at $4 apiece, upon closing. In addition, TapImmune will issue warrants to buy 13,125,000 common shares at an exercise price of $5 per share.
Completion of the placement is expected to be concurrent with, and is subject to, the closing of TapImmune's proposed merger with privately held Marker Therapeutics Inc. The closing of the placement, which is also subject to approval by TapImmune stockholders and other customary closing conditions, is expected by the end of the third quarter.
Proceeds will be used to advance the merged company's T-cell therapy to phase 2 clinical studies, continue other clinical trials and build operational and clinical facilities. Funds raised will fund the merged company through the second half of 2021.
Piper Jaffray & Co. served as sole lead placement agent while Nomura Securities International Inc. acted as co-placement agent.
