Bio-Path Holdings Raises $1.5M in Preferred Stock Sale

TL;DR

Bio-Path just sold $1.5M in preferred stock to investors, need cash for trials.

AI Summary

On March 25, 2024, Bio-Path Holdings, Inc. entered into a Material Definitive Agreement, specifically a Securities Purchase Agreement, with accredited investors. This agreement allows for the sale of approximately $1.5 million worth of Series B convertible preferred stock. The company also reported on unregistered sales of equity securities.

Why It Matters

This capital raise provides Bio-Path Holdings with additional funding, which could be crucial for advancing its clinical trials and drug development programs.

Risk Assessment

Risk Level: medium — The company is raising capital through preferred stock, which can be dilutive, and is in the pharmaceutical development stage, which carries inherent clinical and regulatory risks.

Key Numbers

• $1.5M — Capital Raised (Through sale of Series B convertible preferred stock)

Key Players & Entities

• Bio-Path Holdings, Inc. (company) — Registrant
• March 25, 2024 (date) — Date of earliest event reported
• $1.5 million (dollar_amount) — Amount raised in Securities Purchase Agreement
• Series B convertible preferred stock (security) — Type of stock sold

FAQ

Key Financial Figures

• $0.001 — ch registered Common Stock, par value $0.001 per share BPTH The Nasdaq Capital M
• $3.99 — ck"), for a purchase price per Share of $3.99 and gross proceeds of $299,250. The Sh
• $299,250 — er Share of $3.99 and gross proceeds of $299,250. The Shares will be issued pursuant to
• $3.865 — issuance and have an exercise price of $3.865 per share. The number of shares issuabl
• $4.9875 — Warrants will have an exercise price of $4.9875 per share and will expire five years fo
• $0.2 million — rants, are expected to be approximately $0.2 million. The Registered Direct Offering and the

Filing Documents

• tm249787d1_8k.htm (8-K) — 35KB
• tm249787d1_ex4-1.htm (EX-4.1) — 100KB
• tm249787d1_ex4-2.htm (EX-4.2) — 96KB
• tm249787d1_ex10-1.htm (EX-10.1) — 243KB
• 0001104659-24-038742.txt ( ) — 758KB
• bpth-20240325.xsd (EX-101.SCH) — 3KB
• bpth-20240325_lab.xml (EX-101.LAB) — 33KB
• bpth-20240325_pre.xml (EX-101.PRE) — 22KB
• tm249787d1_8k_htm.xml (XML) — 4KB

01 Entry Into a Material Definitive

Item 1.01 Entry Into a Material Definitive Agreement. On March 25, 2024, Bio-Path Holdings, Inc. (the "Company") entered into a securities purchase agreement (the "Purchase Agreement") with an institutional investor, pursuant to which the Company agreed to sell, in a registered direct offering (the "Registered Direct Offering"), an aggregate of 75,000 shares (the "Shares") of its common stock, par value $0.001 per share ("Common Stock"), for a purchase price per Share of $3.99 and gross proceeds of $299,250. The Shares will be issued pursuant to a prospectus supplement dated as of March 25, 2024, in connection with a takedown from the Company's shelf registration contained in such registration statement. The Purchase Agreement contains customary representations, warranties, and covenants of the Company and also provides for customary indemnification by the Company against certain liabilities of the institutional investor. In a concurrent private placement (the "Private Placement"), the Company also agreed pursuant to the Purchase Agreement to issue to the investor in the Registered Direct Offering warrants to purchase up to 75,000 shares of Common Stock (the "Common Warrants"), which represent 100% of the number of shares of Common Stock purchased in the Registered Direct Offering. Subject to certain ownership limitations, the Common Warrants will be exercisable immediately upon issuance, have a term of five years from issuance and have an exercise price of $3.865 per share. The number of shares issuable upon exercise of the Common Warrants and the exercise price of the Common Warrants are adjustable in the event of stock splits, stock dividends, combinations of shares and similar recapitalization transactions. On March 22, 2024, the Company entered into an engagement letter (the "Engagement Letter") with H.C. Wainwright & Co.,

02 Unregistered Sales of Equity Securities

Item 3.02 Unregistered Sales of Equity Securities. The information contained above in Item 1.01 regarding the Warrants and the Warrant Shares is hereby incorporated by reference into this Item 3.02.

01 Financial Statements and Exhibits

Item 9.01 Financial Statements and Exhibits. (d) Exhibits . Exhibit Number Description 4.1* Form of Common Warrant 4.2* Form of Placement Agent Warrant 10.1* Form of Securities Purchase Agreement 104 The cover page from this Current Report on Form 8-K, formatted in Inline XBRL (included as Exhibit 101). * Filed herewith.

SIGNATURES

SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the Company has duly caused this Current Report to be signed on its behalf by the undersigned hereunto duly authorized. BIO-PATH HOLDINGS, Inc. Dated: March 26, 2024 By: /s/ Peter H. Nielsen Peter H. Nielsen President and Chief Executive Officer

View Full Filing

View this 8-K filing on SEC EDGAR