CERo Therapeutics (CERO, Financial) has secured a securities purchase agreement to raise as much as $8 million through a convertible preferred stock offering. Initially, the company anticipates receiving $5 million from the initial investment, with the possibility of acquiring an additional $3 million through subsequent closings as decided by investors.
The funds raised will be channeled towards leveraging recent FDA Investigational New Drug (IND) allowances in both liquid and solid tumors. CERo plans to use these proceeds to finalize the activation of a site at the MD Anderson Cancer Center (MDACC) and to accelerate the readiness of other research sites.
Beyond their immediate research objectives, CERo aims to utilize the financing to address current Nasdaq listing deficiencies, particularly focusing on shareholder equity requirements. This financial boost is expected to extend CERo's cash flow and operational runway, ensuring their continued progress and stability in the biotech market.
