Tevogen Bio to Accept $1 Million Additional Grant Funding for AI Expansion

Rhea-AI Summary

Tevogen Bio Holdings (Nasdaq: TVGN) announced it will receive $1 million in grant funding to advance Tevogen.AI, its artificial intelligence-powered drug discovery and development program. This funding is part of a previously announced $10 million non-dilutive grant agreement with KRHP LLC, following an initial $2 million received in January 2025.

The funds will be used to enhance Tevogen.AI's capabilities in target discovery, development timeline reduction, and improving treatment accessibility. The grant comes from KRHP LLC, which is affiliated with an existing Tevogen investor. The company aims to strategically deploy these funds to maximize shareholder value while advancing its AI-driven drug development initiatives.

Positive

• None.

Negative

• Company needs to raise additional capital to execute business plan
• Limited operating history poses execution risks
• Faces significant competition in rapidly evolving technology space

Insights

Biotechnology Funding Specialist

Tevogen receives $1M non-dilutive grant to advance AI drug discovery platform, part of larger $10M funding arrangement.

Tevogen Bio's acceptance of an additional $1 million in grant funding represents a strategic enhancement of their capital position through non-dilutive financing. This funding, earmarked specifically for the Tevogen.AI drug discovery initiative, is particularly significant as it comes from an existing investor-affiliated entity (KRHP LLC) and is part of a larger $10 million grant agreement that began with a $2 million distribution in January 2025.

The non-dilutive nature of this funding is a key positive for existing shareholders, as it allows Tevogen to advance its AI technology without equity dilution that would typically accompany traditional financing rounds. For early-stage biotech companies like Tevogen, the ability to secure grant funding often signals external validation of technology potential while preserving ownership structure.

The company's strategic allocation of these funds toward AI-driven drug discovery aligns with industry trends toward computational approaches that can potentially compress development timelines and reduce costs. Tevogen appears to be positioning its AI platform at the intersection of computational biology and precision cell therapies, which could potentially create competitive advantages in target identification and development efficiency if successfully implemented.

This $1 million represents the third tranche of the total potential $10 million grant ($2 million received previously, with $7 million potentially remaining). The staged funding approach suggests ongoing performance evaluation by the grantor, which adds a layer of accountability to Tevogen's AI development efforts. The company's emphasis on operating efficiency in the press release also indicates management's focus on disciplined capital deployment, though concrete metrics of this efficiency aren't provided.

• Funds will support advancement of Tevogen.AI, the Company’s artificial intelligence–driven drug discovery initiative.
• The $1 million is part of up to $10 million in previously announced non‑dilutive grant funding from KRHP LLC.
  
  

WARREN, N.J., Aug. 01, 2025 (GLOBE NEWSWIRE) -- Tevogen Bio Holdings Inc. (“Tevogen” or the “Company) (Nasdaq: TVGN), today announced that it expects to receive $1 million in grant funding to advance Tevogen.AI, its artificial intelligence–powered drug discovery and development program.

The funding would be provided under the previously announced grant agreement with KRHP LLC, under which Tevogen received $2 million in January 2025 and may receive up to an additional $8 million, for an aggregate of $10 million in non-dilutive funding. KRHP LLC is affiliated with an existing Tevogen investor. The Company expects to direct the expected new $1 million allocation toward accelerating Tevogen.AI’s capabilities to enhance target discovery, shorten development timelines, and improve treatment accessibility for large patient populations.

“Tevogen.AI, our AI initiative, stands at the intersection of innovation and equity,” said Dr. Ryan Saadi, Chairman and CEO of Tevogen. “This grant is an endorsement of its potential role in accelerating drug development, bringing down costs, speeding up timelines, and expanding access to precision cell therapies for those who need them most.”

The Company remains focused on operating efficiency and strategically deploying funds to maximize shareholder value and patient impact.

Forward Looking Statements

This press release contains certain forward-looking statements, including without limitation statements relating to: the expected receipt of grant funding from KRHP LLC; Tevogen’s plans for its research and manufacturing capabilities; expectations regarding future growth; expectations regarding the healthcare and biopharmaceutical industries; and Tevogen’s development of, the potential benefits of, and patient access to its product candidates for the treatment of infectious diseases and cancer. Forward-looking statements can sometimes be identified by words such as “may,” “could,” “would,” “expect,” “anticipate,” “possible,” “potential,” “goal,” “opportunity,” “project,” “believe,” “future,” and similar words and expressions or their opposites. These statements are based on management’s expectations, assumptions, estimates, projections and beliefs as of the date of this press release and are subject to a number of factors that involve known and unknown risks, delays, uncertainties and other factors not under the company’s control that may cause actual results, performance or achievements of the company to be materially different from the results, performance or other expectations expressed or implied by these forward-looking statements.

Factors that could cause actual results, performance, or achievements to differ from those expressed or implied by forward-looking statements include, but are not limited to: that Tevogen will need to raise additional capital to execute its business plan, which may not be available on acceptable terms or at all; changes in the markets in which Tevogen competes, including with respect to its competitive landscape, technology evolution, or regulatory changes; changes in domestic and global general economic conditions; the risk that Tevogen may not be able to execute its growth strategies or may experience difficulties in managing its growth and expanding operations; the risk that Tevogen may not be able to develop and maintain effective internal controls; the failure to achieve Tevogen’s commercialization and development plans and identify and realize additional opportunities, which may be affected by, among other things, competition and the ability of Tevogen to grow and manage growth economically and hire and retain key employees; the risk that Tevogen may fail to keep pace with rapid technological developments to provide new and innovative products and services or make substantial investments in unsuccessful new products and services; risks related to the ability to develop, license or acquire new therapeutics; the risk of regulatory lawsuits or proceedings relating to Tevogen’s business; uncertainties inherent in the execution, cost, and completion of preclinical studies and clinical trials; risks related to regulatory review, approval and commercial development; risks associated with intellectual property protection; Tevogen’s limited operating history; and those factors discussed or incorporated by reference in Tevogen’s Annual Report on Form 10-K.

You should not place undue reliance on forward-looking statements, which speak only as of the date they are made. Tevogen undertakes no obligation to update any forward-looking statements, except as required by applicable law.

Contacts

Tevogen Bio Communications

T: 1 877 TEVOGEN, Ext 701

Communications@Tevogen.com

FAQ

How much grant funding did Tevogen Bio (TVGN) receive in August 2025?

Tevogen Bio received $1 million in grant funding from KRHP LLC, which is part of a larger $10 million non-dilutive grant agreement.

What is Tevogen.AI and how will the grant funding be used?

Tevogen.AI is the company's artificial intelligence-powered drug discovery and development program. The funding will be used to enhance target discovery, shorten development timelines, and improve treatment accessibility.

How much total grant funding has Tevogen Bio received from KRHP LLC?

Tevogen Bio has received $3 million total ($2 million in January 2025 and $1 million in August 2025) out of a potential $10 million total grant agreement.

Who is providing the grant funding to Tevogen Bio?

The grant funding is provided by KRHP LLC, which is affiliated with an existing Tevogen investor.

What are the main risks facing Tevogen Bio's business development?

Key risks include the need for additional capital, limited operating history, competitive market challenges, and regulatory uncertainties in drug development.