TuHURA Biosciences raises $15.5 million for cancer trials

TAMPA, Fla. - TuHURA Biosciences, Inc. (NASDAQ:HURA), an immuno-oncology company with a current market capitalization of $137.59 million, has secured $15.5 million in funding through a private placement and warrant exercises. According to InvestingPro data, the company maintains a strong liquidity position with a current ratio of 3.0, indicating healthy short-term financial stability. The capital infusion is earmarked for advancing the company’s cancer treatment pipeline, including a Phase 3 trial for IFx-2.0 and a Phase 2 trial for a novel VISTA-inhibiting antibody post-merger with Kineta, Inc.

The company announced the private placement of $12.5 million in common stock and warrants, with an initial tranche of $9 million contingent on achieving specific milestones. The first tranche is expected to close on Thursday, subject to customary conditions. The remaining $3.5 million is due by December 31, 2025. Additionally, TuHURA has raised $3 million from a February 2025 cash exercise of warrants. While the company’s stock currently trades at $3.15, analysts maintain optimistic price targets ranging from $9.25 to $15, suggesting potential upside opportunities.

The securities offered are not registered under the Securities Act of 1933 and were sold to accredited investors. TuHURA has committed to filing a registration statement for the resale of the shares and warrants within 60 days of the initial closing.

Proceeds will support the completion of the Kineta merger, contingent on meeting the set milestones and other closing conditions. The merger is anticipated to expand TuHURA’s portfolio, including Kineta’s VISTA-101 program, expected to enter a Phase 2 trial.

Paulson Investment Company, LLC served as the exclusive placement agent, while Brookline Capital Markets provided equity market advisory services.

The announcement comes as TuHURA prepares for a Phase 3 trial of IFx-2.0, an adjunctive therapy to Keytruda® for advanced Merkel Cell Carcinoma. Following the Kineta merger, the company aims to advance a VISTA inhibiting antibody into a Phase 2 trial and develop bi-specific antibody drug conjugates targeting Myeloid Derived Suppressor Cells.

This fundraising effort and the proposed merger are part of TuHURA’s strategy to develop therapies to overcome resistance to cancer immunotherapy. The company’s progress and plans are outlined in filings with the U.S. Securities and Exchange Commission and on their website. InvestingPro analysis indicates a Fair financial health rating, though the company reported an EBITDA of -$19.96 million in the last twelve months. For deeper insights into TuHURA’s financial metrics and growth potential, including 8 additional ProTips, subscribers can access the full analysis on InvestingPro.

The information in this article is based on a press release statement from TuHURA Biosciences, Inc.

In other recent news, TuHURA Biosciences has initiated a Phase 1b/2a clinical trial for its immune therapy, IFx-Hu2.0, targeting metastatic Merkel cell carcinoma without skin lesions. The trial will test the safety and effectiveness of IFx-Hu2.0 in combination with Keytruda® and is expected to yield results by the end of 2025 or early 2026. Additionally, TuHURA is preparing for a Phase 3 accelerated approval trial, having reached an agreement with the FDA to lift a partial clinical hold. In executive news, TuHURA has appointed Bertrand Le Bourdonnec, PhD, as Executive Vice President, Head of Drug Discovery, Early Development, and Program Management, bringing significant experience in drug discovery and development. Meanwhile, H.C. Wainwright analyst Robert Burns has reduced the price target for TuHURA Biosciences to $12 from $13, while maintaining a Buy rating. Burns noted a net loss of $1.21 per share for 2024, which was wider than expected, and highlighted the company’s R&D and SG&A expenses. TuHURA ended 2024 with approximately $12.7 million in cash, which is expected to support operations into the fourth quarter of 2025. Despite the financial adjustments, H.C. Wainwright continues to express confidence in TuHURA’s prospects.

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