TCBP Announces Exercise of Series D Warrants For Cash

Rhea-AI Summary

TC BioPharm (NASDAQ: TCBP) receives $1.26 million in gross proceeds from an institutional investor exercising warrants. The net cash infusion after fees is $1.17 million. The company plans to use the funds for additional working capital, highlighting confidence in their clinical programs and TCB-008 therapy.

Financial Analyst

The recent transaction involving TC BioPharm and an institutional investor signals a positive reception of the company's financial instruments in the market, specifically the cash-only warrants. The infusion of $1.26 million in gross proceeds represents a bolstering of the company's working capital, which is a critical component for maintaining the momentum of its clinical programs, particularly those related to its gamma-delta T cell therapies.

From a financial standpoint, the exercise price of $2.02 per ADS provides an immediate liquidity event for the company, which is essential for a biotech firm in the clinical stage. The capital will likely be allocated towards ongoing research and development expenses, which are substantial in this sector. This transaction also showcases the confidence of institutional investors in TC BioPharm's potential, which could have a positive effect on the company's stock price as it reflects investor sentiment.

Biotech Market Analyst

TC BioPharm's recent capital raise through warrant exercise is noteworthy within the biotech industry, where funding is often a limiting factor for progress. The specific mention of TCB-008, a key asset in the company's pipeline, highlights the strategic allocation of resources towards advancing this therapy. The focus on AML (acute myeloid leukemia) suggests a targeted approach in a niche yet critical area of oncology that has unmet medical needs.

Given the competitive nature of the biotech sector, TC BioPharm's ability to attract institutional investment can be seen as validation of its scientific and business approach. This could potentially lead to increased visibility and credibility within the industry, possibly impacting future collaboration opportunities and strategic partnerships. It is also indicative of the company's potential for scalability and market penetration with its allogeneic gamma-delta T cell therapies.

Investment Research Analyst

When assessing the financial health and future prospects of TC BioPharm, the net cash infusion of $1,168,275 after fees is a modest yet significant boost. It's essential to consider the context of this transaction within the broader investment landscape. For a clinical-stage biotech company, consistent funding is necessary to sustain operations and this transaction may serve as a precursor to more substantial funding rounds or a stepping stone towards achieving critical milestones that could enhance the company's valuation.

Analyzing the implications for stakeholders, there's a twofold effect; on one hand, existing shareholders might experience dilution due to the increase in outstanding shares. On the other hand, the strengthened balance sheet and the positive signal sent to the market could lead to an uptick in investor interest, potentially outweighing dilutive effects in the long run.

•  Company receives gross proceeds of $1.26 M from transaction

EDINBURGH, Scotland, March 18, 2024 /PRNewswire/ -- TC BioPharm (Holdings) PLC ("TC BioPharm" or the "Company") (NASDAQ: TCBP) a clinical stage biotechnology company developing platform allogeneic gamma-delta T cell therapies for cancer and other indications, today announced that an institutional investor has exercised cash only warrants represented 623,750 American Depository Shares (ADS) at an exercise price of $2.02.

The gross proceeds of the warrant exercise was $1,263,000 with a net cash infusion of $1,168,275 to the Company post fees associated with the exercise to HC Wainwright & Co. There was no additional consideration or inducement paid for the exercise of the Series D warrants in this transaction. The Company intends to use the cash for additional working capital.

"This transaction is further reflective of the promise of TCB-008 and The Company as whole," stated CEO Bryan Kobel. "We will continue to execute on our 2024 plan, driving to human data in AML as well as expanding our platform. This cash infusion further strengthens our balance sheet and is an example of the institutional investor interest the Company is garnering around it's clinical programs and the therapeutic applications for TCB-008."

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. All statements contained in this press release that do not relate to matters of historical fact should be considered forward-looking statements, including without limitation statements regarding the Company's intent or ability to effect any budget savings or execute on any M&A or capital raising strategy. These statements are based on management's current assumptions and are neither promises nor guarantees, but involve known and unknown risks, uncertainties and other important factors that may cause the Company's actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements, including that the proposed issuance of shares may not be approved by the Company's shareholders. For other important factors that could cause actual results to differ materially from the forward-looking statements in this press release, please see the risks and uncertainties identified under the heading "Risk Factors" in our Annual Report on Form 20-F for the year ended December 31, 2022, and our other reports filed with the SEC, all of which is available on the Company's Investor Relations website at www.tcbiopharm.com and on the SEC website at www.sec.gov. All forward-looking statements reflect the Company's beliefs and assumptions only as of the date of this press release. The Company undertakes no obligation to update forward-looking statements to reflect future events or circumstances.

About TC BioPharm (Holdings) PLC

TC BioPharm is a clinical-stage biopharmaceutical company focused on the discovery, development and commercialization of gamma-delta T cell therapies for the treatment of cancer with human efficacy data in acute myeloid leukemia. Gamma-delta T cells are naturally occurring immune cells that embody properties of both the innate and adaptive immune systems and can intrinsically differentiate between healthy and diseased tissue.

TC BioPharm is the leader in developing gamma-delta T cell therapies, and the first company to conduct phase II/pivotal clinical studies in oncology. The Company is conducting two investigator-initiated clinical trials for its unmodified gamma-delta T cell product line - Phase 2b/3 pivotal trial for OmnImmune® in treatment of acute myeloid leukemia using the Company's proprietary allogeneic CryoTC technology to provide frozen product to clinics worldwide.

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SOURCE TC BioPharm

How much did TC BioPharm receive in gross proceeds from the transaction?

TC BioPharm received $1.26 million in gross proceeds from the transaction.

What is the net cash infusion to TC BioPharm after fees?

The net cash infusion to TC BioPharm after fees is $1.17 million.

What does TC BioPharm plan to use the funds for?

TC BioPharm plans to use the funds for additional working capital.

What is the exercise price of the warrants?

The exercise price of the warrants is $2.02.

Who is the CEO of TC BioPharm?

The CEO of TC BioPharm is Bryan Kobel.