Broadwood Partners acquires $6 million in Lineage Cell Therapeutics shares

Broadwood Partners, L.P., a significant stakeholder in Lineage Cell Therapeutics, Inc. (NYSE:LCTX), has acquired a substantial amount of the company’s common shares. The acquisition, valued at $6 million, involved the purchase of 7,894,737 common shares at a price of $0.76 per share. This transaction was part of a Securities Purchase Agreement entered into on November 19, 2024, and concluded on January 27, 2025, following shareholder approval. According to InvestingPro data, LCTX maintains strong financial health with a current ratio of 2.48, indicating solid liquidity position.

In addition to the common shares, Broadwood Partners also acquired an equal number of common share purchase warrants, which are exercisable for one common share each. The transaction was executed as part of a registered direct offering by Lineage Cell Therapeutics. With analyst price targets ranging from $2 to $9 and the next earnings report scheduled for March 6, 2025, investors can access deeper insights through InvestingPro’s comprehensive research reports.

The acquisition increases Broadwood Partners’ direct ownership of Lineage Cell Therapeutics to 49,560,992 shares. The warrants, priced with a conversion or exercise price of $0.91, will expire on the earlier of May 21, 2028, or the 90th day following a specific public disclosure related to the advancement of the company’s OpRegen project.

Neal C. Bradsher, President of Broadwood Capital, Inc., which acts as the General Partner of Broadwood Partners, is also a director and significant owner of Lineage Cell Therapeutics. The transactions underscore Broadwood’s continued investment in the biotechnology firm, which specializes in biological products.

In other recent news, Lineage Cell Therapeutics, a biotechnology firm specializing in cell therapies, has reported significant developments. The company secured a $30 million direct offering, with potential for an additional $36 million upon the exercise of warrants, which is expected to extend Lineage’s operational runway into the first quarter of 2027. The company’s Q3 financials revealed $32.7 million in cash, $3.8 million in revenue, and a reduced net loss to $3 million.

Lineage’s allogeneic cell therapy program, OpRegen®, for treating dry-age related macular degeneration (dry-AMD), is currently in a Phase 2a clinical trial in collaboration with Roche and Genentech. Analyst firms H.C. Wainwright and Boral (OTC:BOALY) Capital have maintained their Buy ratings on Lineage, with price targets set at $9.00 and $3.00 respectively, reflecting confidence in the company’s growth trajectory and its therapeutic advancements.

The company is also progressing with the FDA regarding the OPC1 program for spinal cord injuries and expects IND amendment review completion for OPC1 in Q1 2025. Lineage aims to demonstrate scalable manufacturing capabilities for its therapies, aspiring to be the first to produce thousands of doses from a stable cell bank. These are the recent developments from Lineage Cell Therapeutics.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.