Palatin Technologies sets terms for $23 million offering

CRANBURY, N.J. - Palatin Technologies, Inc. (NYSE American: PTN), a biopharmaceutical company, announced the pricing of its public offering at $0.15 per share, expecting to raise approximately $11.5 million. The offering comes as the stock trades near its 52-week low, having declined over 91% in the past year. According to InvestingPro analysis, the company’s shares are currently showing oversold conditions based on RSI indicators. The offering includes common stock and various series of warrants, with the potential for an additional $11.5 million upon the exercise of Series G warrants.

The offering consists of 76,666,667 shares of common stock or equivalents, along with Series F, G, and H warrants to purchase additional shares. Series F warrants, exercisable at $0.30 per share, will expire five years post-issuance. Series G warrants, with an exercise price of $0.15, can be exercised within 24 months or until the end of the FDA Exercise Period. Series H warrants become available upon the exercise of Series G warrants, at $0.225 per share, expiring 24 months after issuance. With a current market capitalization of just $4.42 million, this offering represents a significant capital raise relative to the company’s size.

The closing of the offering is anticipated on or about May 8, 2025, subject to customary conditions. While the company may receive further proceeds from the cash exercise of Series G warrants, there is no assurance these will be exercised.

Palatin intends to allocate the net proceeds primarily for working capital and general corporate purposes, including its obesity program development. A.G.P./Alliance Global Partners serves as the lead placement agent, with Laidlaw & Company (UK) Ltd. co-managing the offering.

This offering follows the SEC’s effectiveness declaration for Palatin’s registration statement on May 6, 2025. The securities are available through a prospectus included in the registration statement.

This press release does not constitute an offer to sell or a solicitation of an offer to buy the securities, and there will be no sale of these securities in any jurisdiction where such offer, solicitation, or sale would be unlawful before registration or qualification under the securities laws of any such jurisdiction.

Palatin specializes in developing medicines based on melanocortin receptor modulation, targeting diseases with significant unmet medical needs and commercial potential. The company’s strategy involves forming marketing collaborations with industry leaders post-product development. InvestingPro data reveals the company is quickly burning through cash, with an EBITDA of -$30.08 million in the last twelve months. Investors seeking deeper insights can access the comprehensive Pro Research Report, available exclusively to InvestingPro subscribers, which includes detailed analysis of Palatin’s financial health, valuation metrics, and growth prospects among 1,400+ top stocks.

The information for this article is based on a press release statement. Forward-looking statements within the press release are subject to various risks, uncertainties, and assumptions, which may cause actual results to differ from projections.

In other recent news, Palatin Technologies, Inc. has reported significant progress across several of its clinical trials. The company announced updated results from Phase 3 trials for its dry eye disease treatment, PL9643, showing statistically significant symptom resolution in patients, with six out of thirteen symptom endpoints achieving complete resolution compared to a placebo. Palatin also shared promising findings from its Phase 2 obesity study involving the MC4R agonist bremelanotide, which demonstrated notable improvements in appetite control and weight management among participants. Additionally, Palatin revealed encouraging outcomes from its Phase 2b study on Type 2 diabetic nephropathy, where 71% of patients achieved a significant reduction in kidney damage markers.

Meanwhile, Palatin is contesting a delisting notice from NYSE American due to non-compliance with stockholders’ equity requirements. The company has initiated an appeal process, during which its common stock will continue to trade on the exchange. Palatin is actively exploring strategies to strengthen its financial position and regain compliance with the listing standards. These developments highlight Palatin’s ongoing efforts to advance its pipeline and address unmet medical needs while navigating financial challenges.

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