BOSTON, MA (July 6, 2023) — Allarity
Therapeutics, Inc. (Nasdaq: ALLR) (“Allarity” or the “Company”), a
clinical-stage pharmaceutical company developing novel oncology
therapeutics together with drug-specific DRP® companion diagnostics
for personalized cancer care, today announced the pricing of its
“reasonable best efforts” public offering of 2,444,445 shares of
common stock (or common stock equivalents in lieu thereof) and
common warrants to purchase up to 2,444,445 shares of common stock
at an effective combined price of $4.50 per share and common
warrant for aggregate gross proceeds of approximately $11 million,
before deducting placement agent fees and other offering expenses.
The warrants will have an exercise price of $4.50 per share, will
be exercisable immediately and will expire five years from the
initial exercise date.
The closing of the offering is expected to occur
on or about July 10, 2023, subject to the satisfaction of customary
closing conditions. The Company intends to use a portion of the net
proceeds of this offering to pay account payables and accrued
liabilities outstanding, to make payments under certain license
agreements, to pay off a certain outstanding promissory note, to
conduct clinical trials, to redeem a portion of its Series A
Convertible Preferred Stock and for working capital and general
corporate purposes. In connection with the offering, the Company
has agreed to reduce the exercise price of the outstanding warrants
issued in the April 2023 offering to purchase up to 250,000 shares
of common stock from $34.00 per share to $4.50 per share and extend
the termination date from April 21, 2028 to July 10, 2028,
effective upon the closing of this offering.
A.G.P./Alliance Global Partners is acting as
sole placement agent for the offering.
The securities described above are being offered
pursuant to a registration statement on Form S-1 (File No.
333-272469) previously filed with the Securities and Exchange
Commission (SEC) which became effective on July 5, 2023. The
offering is being made only by means of a prospectus forming part
of the effective registration statement. Copies of the preliminary
prospectus and, when available, copies of the final prospectus,
relating to the offering may be obtained on the SEC’s website
located at http://www.sec.gov. Electronic copies of the final
prospectus relating to the offering may be obtained, when
available, from A.G.P./Alliance Global Partners, 590 Madison
Avenue, 28th Floor, New York, NY 10022, or by telephone at (212)
624-2060, or by email at prospectus@allianceg.com.
This press release shall not constitute an offer
to sell or the solicitation of an offer to buy these securities,
nor shall there be any sale of these securities in any state or
other jurisdiction in which such offer, solicitation, or sale would
be unlawful prior to the registration or qualification under the
securities laws of any such state or other jurisdiction.
About Allarity
Therapeutics Allarity Therapeutics,
Inc. (Nasdaq: ALLR) develops drugs for personalized treatment of
cancer guided by its proprietary and highly validated companion
diagnostic technology, the DRP® platform. The Company has a mature
portfolio of three drug candidates: stenoparib, a PARP inhibitor in
Phase 2 development for ovarian cancer; dovitinib, a pan-tyrosine
kinase inhibitor previously developed through Phase 3 in renal
cancer; and IXEMPRA® (Ixabepilone), a microtubule inhibitor
approved in the U.S. and marketed by R-PHARM U.S. for the treatment
of second-line metastatic breast cancer, and is currently in Phase
2 development in Europe for the same indication. Additionally, the
Company has rights in two secondary assets: 2X-111, a liposomal
formulation of doxorubicin for metastatic breast cancer and/or
glioblastoma multiforme (GBM), which is the subject of discussions
for a restructured out-license to Smerud Medical Research
International AS; and LiPlaCis®, a liposomal formulation of
cisplatin and its accompanying DRP®, being developed via a
partnership with Chosa Oncology AB for late-stage metastatic breast
cancer. The Company is headquartered in the United States and
maintains an R&D facility in Hoersholm, Denmark. For more
information, please visit the Company’s website at
www.Allarity.com.
About the Drug Response Predictor –
DRP ® Companion
Diagnostic Allarity uses its drug
specific DRP to select those patients who, by the genetic signature
of their cancer, are found to have a high likelihood of responding
to the specific drug. By screening patients before treatment, and
only treating those patients with a sufficiently high DRP score,
the therapeutic response rate can be significantly increased. The
DRP method builds on the comparison of sensitive vs. resistant
human cancer cell lines, including transcriptomic information from
cell lines combined with clinical tumor biology filters and prior
clinical trial outcomes. DRP is based on messenger RNA from patient
biopsies. The DRP platform has proven its ability to provide a
statistically significant prediction of the clinical outcome from
drug treatment in cancer patients in 37 out of 47 clinical studies
that were examined (both retrospective and prospective), including
ongoing, prospective Phase 2 trials of Stenoparib and IXEMPRA®. The
DRP platform, which can be used in all cancer types and is patented
for more than 70 anti-cancer drugs, has been extensively published
in peer reviewed literature.
Follow Allarity
on Social Media
Facebook: https://www.facebook.com/AllarityTx
LinkedIn: https://www.linkedin.com/company/allaritytx/
Twitter: https://twitter.com/allaritytx
Forward-Looking
Statements This press release
contains “forward-looking statements” within the meaning of the
Private Securities Litigation Reform Act of 1995. Forward-looking
statements provide Allarity’s current expectations or forecasts of
future events. The words “anticipates,” “believe,” “continue,”
“could,” “estimate,” “expect,” “intends,” “may,” “might,” “plan,”
“possible,” “potential,” “predicts,” “project,” “should,” “would”
and similar expressions may identify forward-looking statements,
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 related to the Company’s ability to
regain compliance with the Nasdaq Listing Rule, use of proceeds
from the offering, that the closing of offering will occur or will
occur on the anticipated closing date, ability to raise capital,
statements related to the expected availability capital to fund its
anticipated clinical trials, statements related to advancing
dovitinib in combination with another therapeutic candidate or
other approved drug, any statements related to ongoing clinical
trials for stenoparib as a monotherapy or in combination with
another therapeutic candidate for the treatment of advanced ovarian
cancer, or ongoing clinical trials (in Europe) for IXEMPRA® for the
treatment of metastatic breast cancer, and statements relating to
the effectiveness of the Company’s DRP® companion diagnostics
platform in predicting whether a particular patient is likely to
respond to a specific drug. Any forward-looking statements in this
press release are based on management’s current expectations of
future events and are subject to multiple risks and uncertainties
that could cause actual results to differ materially and adversely
from those set forth in or implied by such forward-looking
statements. These risks and uncertainties include, but are not
limited to, the risk that results of a clinical study do not
necessarily predict final results and that one or more of the
clinical outcomes may materially change following more
comprehensive reviews of the data, and as more patient data become
available, the risk that results of a clinical study are subject to
interpretation and additional analyses may be needed and/or may
contradict such results, the receipt of regulatory approval for
dovitinib or any of our other therapeutic candidates or, if
approved, the successful commercialization of such products, the
risk of cessation or delay of any of the ongoing or planned
clinical trials and/or our development of our product candidates,
the risk that the results of previously conducted studies will not
be repeated or observed in ongoing or future studies involving our
therapeutic candidates, and the risk that the current COVID-19
pandemic will impact the Company’s current and future clinical
trials and the timing of the Company’s preclinical studies and
other operations. For a discussion of other risks and
uncertainties, and other important factors, any of which could
cause our actual results to differ from those contained in the
forward-looking statements, see the section entitled “Risk Factors”
in our Form S-1 registration statement on file with the Securities
and Exchange Commission, available at the Securities and Exchange
Commission’s website at www.sec.gov, and as well as discussions of
potential risks, uncertainties and other important factors in the
Company’s subsequent filings with the Securities and Exchange
Commission. All information in this press release is as of the date
of the release, and the Company undertakes no duty to update this
information unless required by law.
Company Contact:
Thomas
Jensen Senior V.P.
of Investor
Relations investorrelations@allarity.com
U.S. Media Contact:
Mike
Beyer Sam Brown,
Inc. +1 (312)
961-2502
mikebeyer@sambrown.com EU
Media Contact:
Thomas
Pedersen Carrotize
PR &
Communications +45
6062 9390 tsp@carrotize.com
- Allarity Therapeutics Press Release - Public Offering Pricing
Announcement
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