NKGen Biotech Chairman & CEO Paul Y. Song, M.D., Personally Invests $2.65 Million Cash to Accelerate Phase 2 Clinical Trial and Fulfill Financial Reporting Obligations
NKGen Biotech (OTC: NKGN) announced that Chairman & CEO Paul Y. Song, M.D. has made a personal investment of $2.65 million in the company through shares and warrants. The funding comes from proceeds of Dr. Song's recent sale of Fuse Biotherapeutics, which he co-founded. This investment supplements $3.0 million in funding advances from AlpineBrook Capital in 2025, beyond their previous $5.5 million proceeds and $4 million commitments in convertible notes.
The new capital will be used to accelerate NKGen's Phase 2 clinical trial for Alzheimer's Disease, reduce company payables, and cover working capital and compliance-related expenses. The AlpineBrook advances are secured by personal guarantees from Dr. Song and Interim CFO James Graf.
NKGen Biotech (OTC: NKGN) ha annunciato che il Presidente e CEO Paul Y. Song, M.D., ha effettuato un investimento personale di 2,65 milioni di dollari nell'azienda tramite azioni e warrant. Il finanziamento deriva dai proventi della recente vendita di Fuse Biotherapeutics, società co-fondata dal Dr. Song. Questo investimento si aggiunge ai 3,0 milioni di dollari di anticipi di finanziamento da AlpineBrook Capital nel 2025, oltre ai precedenti 5,5 milioni di dollari di proventi e 4 milioni di dollari di impegni in note convertibili.
Il nuovo capitale sarà utilizzato per accelerare la sperimentazione clinica di Fase 2 di NKGen per la Malattia di Alzheimer, ridurre i debiti dell'azienda e coprire le spese di capitale operativo e conformità. Gli anticipi di AlpineBrook sono garantiti personalmente dal Dr. Song e dal CFO ad interim James Graf.
NKGen Biotech (OTC: NKGN) anunció que el presidente y CEO Paul Y. Song, M.D., realizó una inversión personal de 2,65 millones de dólares en la empresa mediante acciones y warrants. La financiación proviene de los ingresos de la reciente venta de Fuse Biotherapeutics, compañía cofundada por el Dr. Song. Esta inversión complementa los 3,0 millones de dólares en anticipos de financiamiento de AlpineBrook Capital en 2025, además de los anteriores 5,5 millones de dólares en ingresos y 4 millones de dólares en compromisos de notas convertibles.
El nuevo capital se utilizará para acelerar el ensayo clínico de fase 2 de NKGen para la Enfermedad de Alzheimer, reducir las cuentas por pagar de la empresa y cubrir gastos de capital de trabajo y cumplimiento. Los anticipos de AlpineBrook están garantizados personalmente por el Dr. Song y el CFO interino James Graf.
NKGen Biotech (OTC: NKGN)는 회장 겸 CEO인 Paul Y. Song 박사가 주식과 워런트를 통해 회사에 265만 달러의 개인 투자를 했다고 발표했습니다. 이 자금은 그가 공동 설립한 Fuse Biotherapeutics의 최근 매각 대금에서 나왔습니다. 이 투자는 2025년 AlpineBrook Capital로부터 받은 300만 달러의 자금 선지급에 더해 이전의 550만 달러 수익과 400만 달러 전환사채 약속을 보완합니다.
새 자본은 NKGen의 알츠하이머병 2상 임상시험 가속화, 회사 채무 감소, 운전자본 및 컴플라이언스 관련 비용 충당에 사용될 예정입니다. AlpineBrook의 선지급금은 송 박사와 임시 CFO 제임스 그래프의 개인 보증으로 담보됩니다.
NKGen Biotech (OTC : NKGN) a annoncé que le président-directeur général Paul Y. Song, M.D., a réalisé un investissement personnel de 2,65 millions de dollars dans la société via des actions et des bons de souscription. Ce financement provient des recettes de la récente vente de Fuse Biotherapeutics, qu'il a cofondée. Cet investissement complète les 3,0 millions de dollars d'avances de financement d'AlpineBrook Capital en 2025, en plus des 5,5 millions de dollars de recettes antérieures et des 4 millions de dollars d'engagements en billets convertibles.
Le nouveau capital sera utilisé pour accélérer l'essai clinique de phase 2 de NKGen pour la maladie d'Alzheimer, réduire les dettes de la société et couvrir les dépenses de fonds de roulement et de conformité. Les avances d'AlpineBrook sont garanties personnellement par le Dr Song et le directeur financier par intérim James Graf.
NKGen Biotech (OTC: NKGN) gab bekannt, dass Vorsitzender und CEO Paul Y. Song, M.D., eine persönliche Investition von 2,65 Millionen US-Dollar in das Unternehmen durch Aktien und Warrants getätigt hat. Die Finanzierung stammt aus den Erlösen des kürzlichen Verkaufs von Fuse Biotherapeutics, das Dr. Song mitbegründet hat. Diese Investition ergänzt 3,0 Millionen US-Dollar an Finanzierungsvorschüssen von AlpineBrook Capital im Jahr 2025, zusätzlich zu den vorherigen 5,5 Millionen US-Dollar Erlösen und 4 Millionen US-Dollar Verpflichtungen in Wandelanleihen.
Das neue Kapital wird verwendet, um die Phase-2-Studie von NKGen zur Alzheimer-Krankheit zu beschleunigen, Verbindlichkeiten des Unternehmens zu reduzieren und Betriebskapital sowie Compliance-bezogene Ausgaben zu decken. Die Vorschüsse von AlpineBrook sind durch persönliche Garantien von Dr. Song und Interim CFO James Graf abgesichert.
- CEO's personal $2.65M cash investment demonstrates strong confidence in company's future
- Additional $3M in funding advances from AlpineBrook Capital shows continued investor support
- Previous $5.5M proceeds and $4M commitments from AlpineBrook strengthen financial position
- Funding enables acceleration of Phase 2 Alzheimer's Disease clinical trial
- Company has faced operational challenges due to limited financial resources
- Company needs to fulfill outstanding financial reporting obligations
- Reliance on personal guarantees from executives for AlpineBrook advances indicates financial strain
Insights
CEO's $2.65M personal investment plus $3M additional funding provides critical capital for clinical advancement while demonstrating exceptional management commitment.
The $2.65 million personal investment from NKGen's CEO Dr. Paul Song represents an extraordinarily strong vote of confidence in the company's NK cell therapy platform. What makes this particularly compelling is the source of funds - proceeds from the recent sale of Fuse Biotherapeutics, another company Dr. Song co-founded - demonstrating his willingness to immediately recycle success into NKGen.
This investment, structured as common stock and warrants rather than secured debt, indicates Dr. Song anticipates long-term value appreciation. When combined with the
The funding allocation reveals company priorities: accelerating their Phase 2 Alzheimer's trial, reducing payables, covering working capital, and fulfilling financial reporting obligations. The explicit mention of reporting obligations suggests NKGen had fallen behind on regulatory compliance requirements - a significant risk factor for an OTC-listed company.
The financing structure reveals deeper insights into NKGen's situation. The AlpineBrook advances are secured by personal guarantees from both Dr. Song and Interim CFO James Graf, indicating:
- Urgency in securing operational funding
- Possible limitations in accessing conventional financing
- Extraordinary commitment from executives willing to assume personal financial risk
For investors, this financing package represents a crucial lifeline addressing immediate operational and compliance challenges while enabling continued clinical advancement. The personal financial commitments from leadership, particularly Dr. Song's immediate reinvestment of proceeds from another successful venture, signal exceptional confidence in NKGen's potential.
While the need for such unconventional funding arrangements reflects underlying financial vulnerability, the resolution of immediate capital constraints and demonstrated leadership conviction represent strongly positive developments for NKGen's near-term prospects.
New funding from Dr. Song augments
SANTA ANA, Calif., May 08, 2025 (GLOBE NEWSWIRE) -- NKGen Biotech, Inc. (OTC: NKGN) (“NKGen” or the “Company”), a clinical-stage biotechnology company focused on the development and commercialization of innovative autologous and allogeneic natural killer (“NK”) cell therapeutics, today announced that its Chairman & Chief Executive Officer, Paul Y. Song, M.D., has invested
Dr. Song’s investment was made in the form of shares of the Company’s common stock and warrants, as described in the Company’s Form 8-K filed with the Securities and Exchange Commission on May 8, 2025. This injection of capital, the Company’s ramping up of its Phase 2 trial, and satisfaction of public company reporting requirements are all critical to position the Company for long-term success.
“The substantial funding from AlpineBrook to date, as well as the tireless dedication and new investment from Paul, demonstrates the confidence and deep belief of Paul and our partners in the future of NKGen,” said James Graf, NKGen’s Interim Chief Financial Officer. “Paul’s personal financial commitment is a testament to the passion and commitment of the Company’s leadership and staff, the tremendous potential of its NK cell therapy, and the alignment between the interests of NKGen’s management team and investors. This new funding comes at a pivotal time for the Company, which has faced operational challenges due to limited financial resources. With this new capital, NKGen is now able to ramp up the third parties required to fulfill the Company’s financial reporting obligations in the coming months.”
“I am fully committed to the future of NKGen and have an unwavering belief in the tremendous value that our NK cell therapy can provide to patients,” said Chairman & CEO, Paul Y. Song, M.D. “I was very fortunate to monetize shares of Fuse Biotherapeutics, Inc., which I co-founded and served as CEO before returning to NKGen, in its recent sale, and did not hesitate to immediately use those proceeds to support NKGen. This investment is a personal and professional decision that reflects my confidence in the Company’s vision, its team, and our long-term growth prospects. NKGen remains focused on achieving its strategic objectives and continuing to deliver value to its patients, employees and shareholders.”
NKGen also announced today that AlpineBrook Capital GP I Limited (“AlpineBrook”) has previously provided approximately
About NKGen Biotech
NKGen is a clinical-stage biotechnology company focused on the development and commercialization of innovative autologous and allogeneic NK cell therapeutics. NKGen is headquartered in Santa Ana, California, USA. For more information, please visit www.nkgenbiotech.com.
Forward-Looking Statements
Statements contained in this press release may contain “forward-looking statements” within the meaning of Section 27A of the Securities Act and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements may be identified by the use of words such as “anticipate”, “believe”, “could”, “continue”, “expect”, “estimate”, “may”, “plan”, “outlook”, “future” and “project” and other similar expressions that predict or indicate future events or trends or that are not statements of historical matters. Because such statements are subject to risks and uncertainties, many of which are outside of the Company’s control, actual results may differ materially from those expressed or implied by such forward-looking statements. Such statements include, but are not limited to, statements regarding the Company’s plans and expected timing for developing troculeucel and SNK02, including the expected timing of completing and announcing further results from its ongoing clinical studies; and the Company’s expected timing for developing its product candidates and potential benefits of its product candidates. Risks that contribute to the uncertain nature of the forward-looking statements include: the Company’s ability to execute its plans and strategies; risks related to performing clinical studies; the risk that initial and interim results of a clinical study do not necessarily predict final results and that one or more of the clinical outcomes may materially change as patient enrollment continues, following more comprehensive reviews of the data, and as more patient data become available; potential delays in the commencement, enrollment and completion of clinical studies and the reporting of data therefrom; the risk that studies will not be completed as planned; the risk that the abstract will not be published as planned including delays in timing, format, or accessibility; and NKGen’s ability to raise additional funding to complete the development of its product candidates. These and other risks and uncertainties are described more fully under the caption “Risk Factors” and elsewhere in the Company’s filings and reports, which may be accessed for free by visiting the Securities and Exchange Commission’s website at www.sec.gov and on the Company’s website under the subheading “Investors—Financial and Filings”. Investors should take such risks into account and should not rely on forward-looking statements when making investment decisions. All forward-looking statements contained in this press release speak only as of the date on which they were made. The Company undertakes no obligation to update such statements to reflect events that occur or circumstances that exist after the date on which they were made, except as required by law.
Internal Contact:
Denise Chua, MBA, CLS, MLS (ASCP)
SVP, Corporate Affairs
949-396-6830
dchua@nkgenbiotech.com
External Contact:
Kevin Gardner
Managing Director
LifeSci Advisors, LLC
kgardner@lifesciadvisors.com
FAQ
Why did NKGen Biotech CEO Paul Song invest $2.65 million in the company?
How much funding has AlpineBrook Capital provided to NKGN in 2025?
What is NKGen Biotech's main clinical focus?
What are the terms of AlpineBrook's funding advances to NKGN?
Where did NKGen Biotech's CEO get the funds for his $2.65M investment?
