VBI Vaccines Announces Closing of $2 Million Registered Direct Offering Priced At-the-Market Under Nasdaq Rules

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VBI Vaccines Inc. (VBIV) closes a registered direct offering, raising approximately $2 million. The offering included 2,272,728 common shares and warrants at $0.88 per share. The net proceeds will be used for working capital and general corporate purposes.
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The completion of VBI Vaccines Inc.'s registered direct offering represents a strategic financial maneuver aimed at bolstering the company's working capital and supporting general corporate activities. With an offering price set at $0.88 per common share and associated warrant and an exercise price of $0.76 for each warrant, the transaction has yielded approximately $2 million in gross proceeds. This capital infusion is timely, as biopharmaceutical companies like VBI typically face significant research and development expenses alongside regulatory compliance costs.

Considering the warrants are immediately exercisable and have a five-year validity, investors might view this as an opportunity for potential future equity at a predetermined price, which could be beneficial if the stock appreciates. However, the immediate dilution effect of the additional shares could exert downward pressure on the stock price in the short term. The alignment with Nasdaq rules and the involvement of H.C. Wainwright & Co. as the exclusive placement agent add a layer of credibility to the transaction.

It is important to monitor how effectively VBI allocates the net proceeds towards its stated goals. Efficient use of these funds could lead to advancements in their product pipeline, which may positively influence the company's valuation in the long term.

In the context of the biopharmaceutical industry, VBI Vaccines Inc.'s recent capital raise through a registered direct offering can be seen as a strategic step to maintain liquidity and fund ongoing operations. This is a common practice among biotech companies, especially those in the stages of clinical development or seeking to expand their research capabilities.

The biotech sector is highly capital-intensive, with a long lead time to profitability due to the extended periods of research, development and clinical trials required before a product can reach the market. The gross proceeds of $2 million, before fees and expenses, may seem modest in comparison to the industry's typical capital requirements. Therefore, the impact of this capital raise on VBI's business operations and research endeavors should be critically assessed in subsequent financial and operational updates.

Investors and analysts should also consider the industry's competitive landscape and VBI's position within it. Any progress in their vaccine development programs, potentially funded by this offering, could be a catalyst for future growth. However, the biotech market is highly volatile and sensitive to both clinical trial outcomes and regulatory developments, which must be factored into any analysis of VBI's financial strategy and its implications for the company's stock performance.

CAMBRIDGE, Mass.--(BUSINESS WIRE)-- VBI Vaccines Inc. (Nasdaq: VBIV) (VBI), a biopharmaceutical company driven by immunology in the pursuit of powerful prevention and treatment of disease, today announced the closing of its previously announced registered direct offering priced at-the-market under Nasdaq rules of 2,272,728 of its common shares and warrants to purchase up to 2,272,728 common shares, at an offering price of $0.88 per common share and associated warrant. The warrants have an exercise price of $0.76 per share, are exercisable on the date of issuance, and will expire five years following the date of issuance.

H.C. Wainwright & Co. acted as the exclusive placement agent for the offering.

The gross proceeds to VBI from this offering were approximately $2 million, before deducting the placement agent’s fees and other offering expenses. VBI intends to use the net proceeds from this offering for working capital and general corporate purposes.

A “shelf” registration statement (File Number 333-267109) relating to the securities described above was filed with the Securities and Exchange Commission (“SEC”) on August 26, 2022 and was declared effective on September 6, 2022. The offering of the securities in the registered direct offering was made only by means of a prospectus, including a prospectus supplement, forming a part of an effective registration statement. A prospectus supplement and accompanying prospectus relating to the registered direct offering have been filed with the SEC. Electronic copies of the prospectus supplement and accompanying prospectus may be obtained on the SEC’s website at or by contacting H.C. Wainwright & Co., LLC at 430 Park Avenue, 3rd Floor, New York, NY 10022, by phone at (212) 856-5711 or e-mail at

This press release shall not constitute an offer to sell or the solicitation of an offer to buy these securities, nor shall there be any sale of these securities in any state or jurisdiction in which such offer, solicitation, or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.

About VBI Vaccines Inc.

VBI Vaccines Inc. (“VBI”) is a biopharmaceutical company driven by immunology in the pursuit of powerful prevention and treatment of disease. Through its innovative approach to virus-like particles (“VLPs”), including a proprietary enveloped VLP (“eVLP”) platform technology and a proprietary mRNA-launched eVLP (“MLE”) platform technology, VBI develops vaccine candidates that mimic the natural presentation of viruses, designed to elicit the innate power of the human immune system. VBI is committed to targeting and overcoming significant infectious diseases, including hepatitis B, coronaviruses, and cytomegalovirus (CMV), as well as aggressive cancers including glioblastoma (GBM). VBI is headquartered in Cambridge, Massachusetts, with research operations in Ottawa, Canada, and a research and manufacturing site in Rehovot, Israel.

Cautionary Statement on Forward-looking Information

Certain statements in this press release that are forward-looking and not statements of historical fact are forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 and are forward-looking information within the meaning of Canadian securities laws (collectively, “forward-looking statements”). The Company cautions that such forward-looking statements involve risks and uncertainties that may materially affect the Company’s results of operations. Such forward-looking statements are based on the beliefs of management as well as assumptions made by and information currently available to management. Actual results could differ materially from those contemplated by the forward-looking statements as a result of certain factors, including but not limited to, the Company’s ability to use of the gross proceeds from the registered direct offering for the intended use, the Company’s ability to regain and maintain compliance with the listing standards of the Nasdaq Capital Market, the Company’s ability to satisfy all of the conditions to the consummation of the transactions with Brii Biosciences, the Company’s ability to comply with its obligations under its loan agreement with K2 HealthVentures, the impact of general economic, industry or political conditions in the United States or internationally; market and other conditions, the impact and continuing effects of the COVID-19 epidemic on our clinical studies, manufacturing, business plan, and the global economy; the ability to successfully manufacture and commercialize PreHevbrio/PreHevbri; the ability to establish that potential products are efficacious or safe in preclinical or clinical trials; the ability to establish or maintain collaborations on the development of pipeline candidates and the commercialization of PreHevbrio/PreHevbri; the ability to obtain appropriate or necessary regulatory approvals to market potential products; the ability to obtain future funding for developmental products and working capital and to obtain such funding on commercially reasonable terms; the Company’s ability to manufacture product candidates on a commercial scale or in collaborations with third parties; changes in the size and nature of competitors; the ability to retain key executives and scientists; and the ability to secure and enforce legal rights related to the Company’s products. A discussion of these and other factors, including risks and uncertainties with respect to the Company, is set forth in the Company’s filings with the SEC and the Canadian securities authorities, including its Annual Report on Form 10-K filed with the SEC on March 13, 2023, and filed with the Canadian security authorities at on March 13, 2023, as may be supplemented or amended by the Company’s Quarterly Reports on Form 10-Q. Given these risks, uncertainties and factors, you are cautioned not to place undue reliance on such forward-looking statements, which are qualified in their entirety by this cautionary statement. All such forward-looking statements made herein are based on our current expectations and we undertake no duty or obligation to update or revise any forward-looking statements for any reason, except as required by law.


Nicole Anderson

Director, Corporate Communications & IR

Phone: (617) 830-3031 x124


Source: VBI Vaccines Inc.


How many common shares were included in VBI Vaccines Inc.'s registered direct offering?

2,272,728 common shares were included in VBI Vaccines Inc.'s registered direct offering.

What was the offering price per common share in VBI Vaccines Inc.'s direct offering?

The offering price per common share in VBI Vaccines Inc.'s direct offering was $0.88.

What is the exercise price of the warrants included in VBI Vaccines Inc.'s offering?

The exercise price of the warrants included in VBI Vaccines Inc.'s offering is $0.76 per share.

Who acted as the exclusive placement agent for VBI Vaccines Inc.'s offering?

H.C. Wainwright & Co. acted as the exclusive placement agent for VBI Vaccines Inc.'s offering.

What is the intended use of the net proceeds from VBI Vaccines Inc.'s offering?

The net proceeds from VBI Vaccines Inc.'s offering will be used for working capital and general corporate purposes.

VBI Vaccines Inc.


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Biological Product (except Diagnostic) Manufacturing
United States of America