Plus Therapeutics receives $1.6 million advance from CPRIT grant

HOUSTON - Plus Therapeutics, Inc. (NASDAQ:PSTV), a $25.7 million market cap biotechnology company, announced Wednesday it has received a $1.6 million advance payment from the Cancer Prevention and Research Institute of Texas (CPRIT) as part of its previously awarded $17.6 million grant. According to InvestingPro data, the company maintains a strong balance sheet with more cash than debt, though it’s currently burning through cash reserves.

The payment represents the latest disbursement from CPRIT, which is the second-largest public cancer research funder globally. Plus Therapeutics expects to receive approximately $6 million in additional funding over the next 12 months. The company’s stock has shown notable momentum, gaining over 31% in the past week, though InvestingPro analysis suggests the stock is slightly overvalued at its current price of $0.42.

"This latest CPRIT disbursement and additional funding expected to be received over the next 12 months of approximately $6 million continues to provide significant non-dilutive financing," said Andrew Sims, Plus Therapeutics Chief Financial Officer.

The funding supports the clinical development of REYOBIQ for the ReSPECT-LM dose optimization trial and further development of the company’s CNSide LM diagnostic test. REYOBIQ (rhenium Re186 obisbemeda) is being evaluated as a targeted radiotherapy for central nervous system cancers.

Plus Therapeutics is currently conducting clinical trials for REYOBIQ in recurrent glioblastoma, leptomeningeal metastases, and pediatric brain cancer. The company’s ReSPECT-GBM trial is supported by the National Cancer Institute, while the ReSPECT-PBC trial for pediatric brain cancer is funded by a $3 million grant from the U.S. Department of Defense’s Peer Reviewed Cancer Research Program.

Leptomeningeal metastases (LM) are a rare but severe complication of advanced cancer that affects approximately 5% of patients with metastatic cancer. Median survival is typically 2-6 months with limited effective treatment options currently available.

Based in Houston, Texas, Plus Therapeutics focuses on developing targeted radiotherapeutics for difficult-to-treat central nervous system cancers.

This article is based on a press release statement from Plus Therapeutics.

In other recent news, Plus Therapeutics has made significant strides in its clinical and commercial endeavors. The company announced the initiation of the ReSPECT-LM dose optimization trial for REYOBIQ, targeting leptomeningeal metastases, following the completion of a Phase 1 single-dose escalation study. Additionally, the FDA has cleared Plus Therapeutics’ Investigational New Drug application for REYOBIQ to treat pediatric patients with high-grade glioma and ependymoma. This Phase 1/2a trial will be supported by a $3.0 million grant from the U.S. Department of Defense.

Plus Therapeutics also plans to launch its CNSide cerebrospinal fluid diagnostic platform in the second half of 2025, initially in Texas, with further expansion planned. H.C. Wainwright has adjusted its price target for the company to $3.00 from $5.50 while maintaining a Buy rating, following a corporate update. Furthermore, Plus Therapeutics has restructured a $15 million financing deal to reduce potential dilution, canceling warrants that could have issued approximately 1.51 billion shares. The restructuring now leaves about 36 million shares issuable under amended Series B Warrants.

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