CASI Pharmaceuticals Announces Up to $20 Million Convertible Note Financing
Rhea-AI Summary
CASI Pharmaceuticals (NASDAQ:CASI) entered a private placement to issue up to $20 million in convertible notes to ETP Global III Fund LP controlled by Dr. Wei-Wu He to fund a Phase 1 study in renal allograft antibody-mediated rejection (AMR) in China and development of a high-concentration subcutaneous formulation of CID-103.
Notes will be issued in tranches, mature in 36 months, carry 12% annual interest, and are convertible into ordinary shares at a VWAP-based conversion price computed over five trading days, with a floor of $1 and cap of $2 per share; purchaser may convert from day 91 after issuance through maturity. Closings are subject to purchaser satisfaction with business and financial results and use of proceeds.
Positive
- Up to $20M committed to fund Phase 1 AMR study in China
- Financing targets development of subcutaneous formulation for CID-103
- Notes convertible into equity, preserving short-term cash flexibility
Negative
- High 12% annual interest increases cash servicing costs
- Conversion price floor/ceiling ($1–$2) may cause substantial dilution
- Funding is in tranches and conditional on purchaser satisfaction
Key Figures
Market Reality Check
Peers on Argus
CASI was down 1.56% pre-announcement while peers were mixed: ANTX up 3.51%, LSB down 20.62%, and others showing smaller moves. This points to stock-specific factors rather than a broad sector move.
Historical Context
| Date | Event | Sentiment | Move | Catalyst |
|---|---|---|---|---|
| Dec 08 | Clinical trial update | Positive | -3.1% | Phase 1 interim CID-103 ITP data with 73% response and manageable safety. |
| Nov 19 | Governance change | Positive | -0.8% | Appointment of new Non-Executive Chairman and leadership transition on board. |
| Nov 14 | Earnings and update | Negative | -5.6% | 3Q25 results with 60% revenue decline, net loss, low cash, Nasdaq issues. |
| Nov 10 | Nasdaq compliance | Negative | +3.0% | Nasdaq delisting determination for MVLS shortfall and subsequent appeal filing. |
| Nov 04 | Conference participation | Neutral | -4.3% | Planned presentation and investor meetings highlighting CID-103 development focus. |
Recent news, even when operationally positive, often coincided with negative or contrary price moves, while clearly negative regulatory events have sometimes seen mixed reactions.
Over the last few months, CASI has focused on advancing CID-103 and navigating listing and financial pressures. Positive Phase 1 data in immune thrombocytopenia on Dec 8, 2025 and governance changes on Nov 19, 2025 were followed by modest share declines. Third quarter 2025 results on Nov 14, 2025 highlighted revenue contraction, losses, low cash, and a Nasdaq delisting overhang. Earlier, a formal delisting determination and a conference appearance also saw generally negative price follow-through. The new financing aligns with this backdrop of capital needs and listing risk.
Market Pulse Summary
This announcement highlights up to US $20 million in convertible note financing intended to fund a Phase 1 renal allograft AMR study in China and formulation work for CID-103. Against recent results showing $3.1M in 3Q25 revenue, a $10.9M net loss, and $4.7M in cash, the added capital directly addresses runway needs. Investors may monitor execution of tranche closings, conversion terms between $1 and $2 per share, and progress of CID-103 development and Nasdaq compliance efforts.
Key Terms
convertible notes financial
monoclonal antibody medical
AI-generated analysis. Not financial advice.
- Investment to Fund Phase 1 Study in Renal Allograft Antibody-Mediated Rejection (AMR) in China
SOUTH SAN FRANCISCO, CALIFORNIA / ACCESS Newswire / December 11, 2025 / CASI Pharmaceuticals, Inc. (NASDAQ:CASI, the "Company"), a clinical-stage biopharmaceutical company developing CID-103, an anti-CD38 monoclonal antibody, for patients with organ transplant rejection and autoimmune diseases, today announced that the Company has entered into a convertible note purchase agreement (the "Purchase Agreement") with ETP Global III Fund LP, a partnership controlled by Dr. Wei-Wu He (the "Purchaser"), pursuant to which the Company will issue and sell convertible notes in an aggregate principal amount of US
The sale of the convertible notes will be in tranches and subject to multiple closings with certain closing conditions, including Purchaser being satisfied with the business results and financials status of the Company and the use of proceeds upon each closing.
Each convertible note issued pursuant to the Purchase Agreement will mature in 36 months, bearing interest of
About CASI Pharmaceuticals
CASI Pharmaceuticals, Inc. is a public biopharmaceutical company developing CID-103, an anti-CD38 monoclonal antibody for organ transplant rejection and autoimmune diseases.
CID-103 is a fully human IgG1, potentially best-in-class, clinical stage, anti-CD38 monoclonal antibody which targets a unique epitope and has demonstrated an encouraging pre-clinical efficacy and clinical safety profile compared to other anti-CD38 monoclonal antibodies, and for which CASI owns exclusive global rights. CASI received FDA IND clearance to conduct a Phase 1 study in renal allograft antibody-mediated rejection (AMR) in the U.S. In parallel, CASI is actively recruiting and dosing patients in an ongoing Phase 1 study in immune thrombocytopenia (ITP). In addition, CASI is assessing multiple technologies for development of a stable, high concentration protein solution for subcutaneous formulation.
More information on CASI is available at www.casipharmaceuticals.com.
Forward Looking Statements
This announcement contains forward-looking statements. These statements are made under the "safe harbor" provisions of the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as "will," "expects," "anticipates," "future," "intends," "plans," "believes," "estimates," "confident" and similar statements. Among other things, the business outlook and quotations from management in this announcement, as well as the Company's strategic and operational plans, contain forward-looking statements. The Company may also make written or oral forward-looking statements in its periodic reports to the U.S. Securities and Exchange Commission (the "SEC"), in its annual report to shareholders, in press releases and other written materials and in oral statements made by its officers, directors or employees to third parties. Statements that are not historical facts, including statements about the Company's beliefs and expectations, are forward-looking statements. Forward-looking statements involve inherent risks and uncertainties. A number of factors could cause actual results to differ materially from those contained in any forward-looking statement, including but not limited to the following: uncertainties related to the issuance, repayment or conversion of the notes pursuant to the terms of the note purchase agreement and the notes; uncertainties related to the possibility that the transaction for the divestiture of certain assets in China (the "Transaction") will not occur as planned if events arise that result in the termination of the Equity and Assets Transfer Agreement, or if one or more of the various closing conditions to the Transaction are not satisfied or waived; the possibility that our plan with respect to our business operations after the consummation of the Transaction can be implemented successfully; our recurring operating losses have raised substantial doubt regarding our ability to continue as a going concern; the possibility that we may be delisted from trading on The Nasdaq Capital Market if we fail to satisfy applicable continued listing standards; the volatility in the market price of our ordinary shares; the risk of substantial dilution of existing shareholders in future share issuances; the difficulty of executing our business strategy on a global basis including China; our inability to enter into strategic partnerships for the development, commercialization, manufacturing and distribution of our proposed product candidates or future candidates; legal or regulatory developments in China that adversely affect our ability to operate in China; our lack of experience in manufacturing products and uncertainty about our resources and capabilities to do so on a clinical or commercial scale; risks relating to the commercialization, if any, of our products and proposed products (such as marketing, safety, regulatory, patent, product liability, supply, competition and other risks); our inability to predict when or if our product candidates will be approved for marketing by the U.S. Food and Drug Administration, European Medicines Agency, PRC National Medical Products Administration, or other regulatory authorities; our inability to receive approval for renewal of license of our existing products; the risks relating to the need for additional capital and the uncertainty of securing additional funding on favorable terms; the risks associated with our product candidates, and the risks associated with our other early-stage products under development; the risk that result in preclinical and clinical models are not necessarily indicative of clinical results; uncertainties relating to preclinical and clinical trials, including delays to the commencement of such trials; our ability to protect our intellectual property rights; the lack of success in the clinical development of any of our products; and our dependence on third parties; the risks related to our dependence on Juventas to conduct the clinical development of CNCT19 and to partner with us to co-market CNCT19; risks related to our dependence on Juventas to ensure the patent protection and prosecution for CNCT19; the risk related to the Company's ongoing development of and regulatory application for CID-103 with respect to the treatment of antibody-mediated rejection for organ transplant and the license arrangements of CID-103; risks relating to interests of our largest shareholder and our Chairman that differ from our other shareholders; risks related to the development of a new manufacturing facility by CASI Pharmaceuticals (Wuxi) Co., Ltd. and risks related to our disagreement with Acrotech with respect to the termination of agreements regarding EVOMELA®. Further information regarding these and other risks is included in the Company's filings with the SEC. All information provided herein is as of the date of this announcement, and the Company undertakes no obligation to update any forward-looking statement, except as required under applicable law. We caution readers not to place undue reliance on any forward-looking statements contained herein.
EVOMELA® is proprietary to Acrotech Biopharma Inc. and its affiliates. FOLOTYN® is proprietary to Acrotech Biopharma Inc and its affiliates. The Company is currently involved in disputes and legal proceedings related to certain pipeline products, including EVOMELA® and CNCT-19. Please refer to the Company's earlier SEC filing for further information.
COMPANY CONTACT:
Ingrid Choong, PhD
650-619-6115
ingridc@casipharmaceuticals.com
SOURCE: CASI Pharmaceuticals
View the original press release on ACCESS Newswire
FAQ
How much financing did CASI (NASDAQ:CASI) announce on December 11, 2025?
What will the CASI convertible notes fund for CID-103?
What are the key terms of the CASI convertible notes (maturity, interest, conversion)?
When can the purchaser convert CASI notes into shares?
Are CASI's note closings guaranteed immediately?
