BriaCell Therapeutics Announces Closing of $15 million Public Offering

Rhea-AI Summary

BriaCell Therapeutics (NASDAQ: BCTX), a clinical-stage biotechnology company focused on immunotherapy for cancer care, has successfully closed a $15 million public offering. The offering consisted of 12 million units priced at $1.25 per unit, with each unit comprising one common share (or pre-funded warrant) and one warrant.

The warrants are exercisable at $1.50 per share for a five-year period, while pre-funded warrants have an exercise price of $0.001. ThinkEquity served as the sole placement agent. The company plans to utilize the proceeds for working capital, general corporate purposes, and advancing its business objectives.

Positive

• Successfully raised $15 million in gross proceeds through public offering
• Five-year warrant term provides long-term funding flexibility
• Strengthened capital position for advancing business objectives and working capital

Negative

• Potential dilution for existing shareholders
• Offering price of $1.25 per unit may represent a discount to market price
• Additional warrants could lead to future dilution if exercised

Insights

Biotech Investment Analyst

BriaCell raised $15M through public offering, diluting shares but extending runway for cancer immunotherapy development.

BriaCell Therapeutics has successfully closed a $15 million public offering through the issuance of 12 million units priced at $1.25 per unit. Each unit includes one common share (or pre-funded warrant) and one warrant exercisable at $1.50 for five years. This capital raise is a double-edged sword for investors. On one hand, it creates significant dilution with 12 million new units representing substantial additional shares. On the other hand, the funding strengthens BriaCell's balance sheet and extends its operational runway.

The $1.25 offering price signals potential pressure on the current share price, as public offerings typically price below market to ensure successful placement. However, the $1.50 warrant exercise price suggests management's confidence in potential upside, as these warrants would only be exercised if shares trade above that threshold.

For a clinical-stage biotech without significant revenue, this capital infusion is crucial for continuing operations. The funds will support working capital requirements and advance BriaCell's novel cancer immunotherapy pipeline. With biotech R&D costs typically running into millions monthly, this offering likely provides operational runway for approximately 12-18 months, depending on their burn rate and clinical trial schedule.

The offering's structure, utilizing both common shares and warrants, is typical for small-cap biotechs seeking to maximize capital while offering potential upside through warrants. ThinkEquity's involvement as placement agent lends credibility to the transaction, though the "best efforts" nature indicates it wasn't a guaranteed underwriting, reflecting the inherent risk profile of early-stage biotech investments.

PHILADELPHIA and VANCOUVER, British Columbia, July 16, 2025 (GLOBE NEWSWIRE) -- BriaCell Therapeutics Corp. (Nasdaq: BCTX, BCTXW, BCTXZ) (TSX: BCT) (“BriaCell” or the “Company”), a clinical-stage biotechnology company that develops novel immunotherapies to transform cancer care, today announced the closing of its best-efforts public offering of 12,000,000 units. Each unit consists of one common share (or one pre-funded warrant (“Pre-Funded Warrant”) in lieu thereof) and one warrant (the “Warrants”). Each unit was sold to the public at a price of $1.25 per unit (inclusive of the Pre-Funded Warrant exercise price) for gross proceeds of $15 million, before deducting placement agent fees and offering expenses. Each Pre-Funded Warrant is exercisable to purchase one common share at an exercise price of $0.001 until such time as the Pre-Funded Warrant is exercised in full and each Warrant is immediately exercisable, and entitles the holder thereof to purchase one common share at an exercise price of $1.50 per share for a period of five years from the date of issuance. The common shares (or Pre-Funded Warrants) and Warrants were purchased together in the offering but were issued separately.

No Canadian prospectus has been or will be filed in a province or territory of Canada to qualify the securities in connection with the offering. The Company is relying upon the exemption set forth in Section 602.1 of the TSX Company Manual, which provides that the TSX will not apply its standards to certain transactions involving eligible interlisted issuers on a recognized exchange, such as Nasdaq.

The Company intends to use the net proceeds from the offering for working capital requirements, general corporate purposes, and the advancement of business objectives.

ThinkEquity acted as the sole placement agent for the offering.

A registration statement on Form S-1 (File No. 333-288562) relating to the securities was filed with the Securities and Exchange Commission (“SEC”) and became effective on July 15, 2025. This offering was made only by means of a prospectus. Copies of the final prospectus may be obtained from ThinkEquity, 17 State Street, 41^st Floor, New York, New York 10004. The final prospectus has been filed with the SEC and is available on the SEC’s website located at http://www.sec.gov.

This press release shall not constitute an offer to sell or a solicitation of an offer to buy, nor shall there be any sale of these securities in any state or jurisdiction in which such an offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.

About BriaCell Therapeutics
BriaCell is a clinical-stage biotechnology company that develops novel immunotherapies to transform cancer care. More information is available at https://briacell.com/.

Forward Looking Statements
This press release contains “forward-looking statements” that are subject to substantial risks and uncertainties. All statements, other than statements of historical fact, contained in this press release are forward-looking statements. Forward-looking statements contained in this press release may be identified by the use of words such as “anticipate,” “believe,” “contemplate,” “could,” “estimate,” “expect,” “intend,” “seek,” “may,” “might,” “plan,” “potential,” “predict,” “project,” “target,” “aim,” “should,” "will” “would,” or the negative of these words or other similar expressions, although not all forward-looking statements contain these words. Forward-looking statements are based on the Company’s current expectations and are subject to inherent uncertainties, risks and assumptions that are difficult to predict. Further, certain forward-looking statements are based on assumptions as to future events that may not prove to be accurate. These and other risks and uncertainties are described more fully in the section titled “Risk Factors” in the final prospectus related to the public offering filed with the Securities and Exchange Commission. Forward-looking statements contained in this announcement are made as of this date, and the Company undertakes no duty to update such information except as required under applicable law.

Contact Information

Company Contact:
William V. Williams, MD
President & CEO
1-888-485-6340
info@briacell.com 

Investor Relations Contact:
investors@briacell.com

FAQ

How much did BriaCell Therapeutics (BCTX) raise in its July 2025 public offering?

BriaCell raised $15 million in gross proceeds through a public offering of 12 million units priced at $1.25 per unit.

What are the terms of BCTX's July 2025 offering warrants?

Each warrant is exercisable at $1.50 per share for five years, while pre-funded warrants have an exercise price of $0.001.

How will BriaCell use the proceeds from its July 2025 public offering?

BriaCell will use the proceeds for working capital requirements, general corporate purposes, and advancing business objectives.

Who was the placement agent for BriaCell's July 2025 public offering?

ThinkEquity acted as the sole placement agent for the offering.

What securities were included in BCTX's July 2025 offering units?

Each unit consisted of one common share (or pre-funded warrant) and one warrant, with units priced at $1.25.