Telomir Pharmaceuticals Secures $3 Million at a Premium in Straight Equity Sale Involving No Warrants to Advance Rare Disease IND

Rhea-AI Summary

Telomir Pharmaceuticals (NASDAQ:TELO) has secured $3 million in equity financing through a direct investment from The Bayshore Trust at $3.00 per share, an 18% premium to the market price. This follows a previous $1 million investment at $7.00 per share and complements a $5 million undrawn credit line. The company is advancing two key drug candidates: Telomir-1, a first-in-class age-reversal molecule targeting cellular decline, and Telomir-Ag2, a stabilized Silver(II) compound for drug-resistant infections. Telomir-1 has shown promising preclinical results in multiple indications including Progeria, Type 2 diabetes, Wilson's disease, and oncology. The company plans to submit an IND by year-end, focusing on a rare disease indication to efficiently demonstrate clinical impact.

Positive

• Secured $3M equity investment at 18% premium to market price with no warrants or toxic features
• Additional $5M non-dilutive credit line remains available and undrawn
• Strong insider conviction demonstrated through repeated investments from largest shareholder
• Telomir-1 showed positive preclinical results across multiple valuable indications
• Telomir-Ag2 demonstrates effectiveness against drug-resistant bacteria, targeting $30B+ market

Negative

• Share price declined significantly since December 2024 investment ($7.00 to $2.54)
• No human clinical data available yet for either drug candidate
• IND submission still pending, indicating early development stage
• Multiple financing rounds needed, suggesting potential future dilution

Insights

Biotechnology Investment Analyst

Telomir secured $3M premium-priced equity from insiders with no toxic terms, strengthening finances for rare disease IND submission by year-end.

Telomir's $3 million equity raise from its largest shareholder comes with several noteworthy positive features that differentiate it from typical biotech financings. The investment was made at 18% premium to market price, with shares purchased at $3.00 versus the $2.54 trading price. Importantly, this contains no warrants, discounts, or convertible features - avoiding the dilutive structures that often plague early-stage biotech companies.

This financing follows a previous $1 million investment from affiliated entities at $7.00 per share in December 2024, plus an undrawn $5 million credit line. The consistent investment from insider-affiliated entities at premium valuations suggests strong conviction from major shareholders who have intimate knowledge of the company's technology and prospects.

The capital infusion strengthens Telomir's balance sheet as it approaches a critical value-creating milestone - an IND submission by year-end for Telomir-1 in a rare disease indication. This strategic focus on rare diseases creates a potentially faster, less capital-intensive path to proof-of-concept in humans. For pre-revenue biotechs, demonstrating human efficacy represents a substantial derisking event that typically drives significant valuation increases.

Telomir's scientific platform appears unique, with their lead candidate addressing multiple fundamental mechanisms of aging and cellular dysfunction. The broad potential application across multiple rare diseases (Progeria, Werner Syndrome, Wilson's Disease) and larger indications (diabetes, oncology support) suggests a pipeline-in-a-product approach. Their second asset, a stabilized Silver(II) antimicrobial, addresses the growing market for infection control, particularly against resistant strains.

While this financing buys runway through their IND milestone, Telomir will require significantly more capital to complete clinical development. However, by establishing early human efficacy data in a rare disease, they position themselves for potential non-dilutive funding through partnerships or grants while creating multiple potential development pathways.

Investment from largest shareholder strengthens balance sheet, signals insider conviction, and funds Telomir-1's upcoming IND submission for a rare disease indication

MIAMI, FLORIDA / ACCESS Newswire / May 21, 2025 / Telomir Pharmaceuticals, Inc. (NASDAQ:TELO) ("Telomir" or the "Company"), an emerging leader in age-reversal science, today announced it has secured $3 million in equity financing, through a direct investment by The Bayshore Trust, the Company's largest shareholder.

The transaction involved the purchase of 1 million restricted shares of the Company's common stock at $3.00 per share, representing an 18% premium to Telomir's closing share price of $2.54 on the date of execution. The transaction was structured as a straight restricted common stock transaction with no warrants, no discounts, and no convertible features.

This transaction follows a prior $1 million equity investment at $7.00 per share made on December 9, 2024, through The Starwood Trust-an entity affiliated with the Company's largest shareholder - and complements an existing $5 million non-dilutive line of credit from the same affiliated group, which remains undrawn.

"We've now raised $4 million in equity and secured a $5 million credit line - all through affiliated entities on shareholder-friendly terms," said Erez Aminov, Chairman and CEO of Telomir. "These investments included no warrants, no discounts, and no toxic structures. Every financing decision we make is grounded in a long-term view of shareholder value, and this raise reflects that discipline."

From an operational standpoint, our first goal is to submit our IND by year-end and generate early human efficacy data in the most efficient and capital-responsible way. We believe pursuing a rare disease indication gives us a strategic entry point to demonstrate clinical impact and build broader value.

Advancing a Growing Pipeline with Breakthrough Potential

Telomir is advancing two highly innovative drug candidates: Telomir-1, a first-in-class age-reversal molecule targeting the root causes of cellular decline, and Telomir-Ag2, a stabilized Silver(II) compound designed to address the growing threat of drug-resistant infections.

Telomir-1: Reversing Aging, Treating Disease, and Extending Longevity

Telomir-1 is an oral small molecule that addresses five fundamental biological drivers of aging and chronic disease: mitochondrial dysfunction, oxidative stress, calcium imbalance, toxic metal accumulation (iron and copper), and telomere shortening.

In preclinical models, Telomir-1 has demonstrated:

• Reversal of the biological clock, improving both lifespan and health span

• Improvement of mitochondrial energy production in metabolically stressed cells

• Reduction of oxidative stress (ROS), a key contributor to age-related damage

• Correction of calcium signaling pathways associated with neurodegeneration and cell death

• Protection against metal-induced toxicity from iron and copper

• Telomere lengthening and stabilization to support cellular regeneration

Therapeutic potential has been demonstrated across several critical indications:

• Progeria: Telomir confirms lifespan restoration and normalization of accelerated aging in a preclinical model of Progeria, a rare genetic disorder causing rapid aging

• Type 2 diabetes: Telomir-1 reversed insulin resistance, lowered fasting glucose, and improved glucose homeostasis in zebrafish models

• Wilson's disease: Telomir-1 protected cells from copper-induced toxicity, restoring mitochondrial function and reducing oxidative stress

• Oncology: In a prostate cancer mice model, Telomir-1 reduced tumor volume by approximately 50%

• Chemotherapy support: Co-administration with Paclitaxel prevented mortality in animals otherwise experiencing toxicity

• Retinal and neural protection: In vitro studies showed strong protection of human retinal cells from oxidative and metal stress conditions

These results support the advancement of Telomir-1 in multiple rare and high-value indications, including:

• Progeria and Werner Syndrome

• Wilson's Disease

• Type 2 Diabetes

• Autism Spectrum Disorder (ASD)

• Spasmodic Dysphonia (SD)

• Age-related Macular Degeneration (AMD)

Telomir plans to engage with the FDA through the Rare Disease Endpoint Advancement (RDEA) Pilot Program, which supports the development of novel clinical endpoints for underserved conditions. In parallel, the Company is advancing a rare disease indication aligned with Telomir-1's mechanism of action to efficiently generate early human efficacy data and support broader clinical development.

Telomir-Ag2: Stabilized Silver(II) for Drug-Resistant Infections

Telomir-Ag2 is a novel Silver(II) complex stabilized using Telomir's proprietary chelation platform. Silver(II) has historically shown strong antimicrobial potential but has remained clinically impractical due to its instability-until now.

Preclinical studies demonstrate that Telomir-Ag2 is active against:

• Escherichia coli

• Pseudomonas aeruginosa

• Enterococcus faecalis

• Staphylococcus aureus

• Methicillin- and aminoglycoside-resistant Staphylococcus aureus (MARSA)

Key features include:

• Superior antimicrobial performance over Silver(I) in minimum inhibitory concentration (MIC) assays

• No sulfa-based compounds, minimizing allergic and cytotoxic risks

• Broad potential as a topical product across burn treatment, wound care, and surgical infection prevention

Telomir-Ag2 addresses a growing global market projected to exceed $30 billion across antimicrobial dressings, hospital-acquired infection prevention, and wound care.

"Telomir-Ag2 may be the first stabilized Silver(II) compound viable for medical use," said Dr. Itzchak Angel, Chief Scientific Advisor of the Company. "It's broad-spectrum activity, especially against resistant strains, represents a major advancement in antimicrobial science."

Cautionary Note Regarding Forward-Looking Statements

This press release, statements of Telomir's management or advisors related thereto, and the statements contained in the news story linked in this release contain "forward-looking statements," which are statements other than historical facts made pursuant to the safe harbor provisions of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These risks and uncertainties include, but are not limited to, the potential use of the data from our studies, our ability to develop and commercialize Telomir-1 for specific indications, and the safety of Telomir-1.

Any forward-looking statements in this press release are based on Telomir's current expectations, estimates and projections only as of the date of this release. These risks and uncertainties include, but are not limited to, the potential use of the data from our studies, our ability to develop and commercialize Telomir-1 for specific indications and safety of Telomir-1. These and other risks concerning Telomir's programs and operations are described in additional detail in its Annual Report on Form 10-K for the fiscal year ended December 31, 2024, which is on file with the SEC. Telomir explicitly disclaims any obligation to update any forward-looking statements except to the extent required by law.

Contact Information

Helga Moya
info@telomirpharma.com
(786) 396-6723

SOURCE: Telomir Pharmaceuticals, Inc

View the original press release on ACCESS Newswire

FAQ

What is the significance of TELO's recent $3 million equity financing?

The financing demonstrates strong insider confidence, being made at an 18% premium ($3.00 vs $2.54 market price) by the largest shareholder, with no warrants or toxic features, strengthening the company's balance sheet for IND submission.

What are the main drug candidates in Telomir Pharmaceuticals' pipeline?

Telomir has two main candidates: Telomir-1, an age-reversal molecule targeting cellular decline, and Telomir-Ag2, a stabilized Silver(II) compound for drug-resistant infections.

What conditions is Telomir-1 being developed to treat?

Telomir-1 is being developed for multiple conditions including Progeria, Werner Syndrome, Wilson's Disease, Type 2 Diabetes, Autism Spectrum Disorder, Spasmodic Dysphonia, and Age-related Macular Degeneration.

What are the key preclinical results for TELO's Telomir-1?

Telomir-1 showed promising preclinical results including 50% tumor reduction in prostate cancer, reversal of insulin resistance in diabetes models, protection against copper toxicity in Wilson's disease, and lifespan restoration in Progeria models.

What is TELO's timeline for Telomir-1 IND submission?

Telomir plans to submit the IND (Investigational New Drug) application for Telomir-1 by the end of 2025, focusing on a rare disease indication.