Loan & DebtMay 6, 2026, 09:02 AM
Citius Oncology Secures $36.5M in Debt & Equity Capital
AI Summary
Citius Oncology, Inc. announced securing up to $36.5 million in new capital through a senior secured term loan credit facility and a warrant inducement transaction. The credit facility from Avenue Capital Group provides up to $25 million, with an initial $10 million funded at closing. Concurrently, the company received approximately $11.5 million from the immediate exercise of existing warrants by a healthcare-focused institutional investor, who was issued new warrants as an inducement. The funds are intended to accelerate LYMPHIR commercialization and support general corporate purposes.
Key Highlights
- Citius Oncology secured up to $36.5 million in combined debt and equity capital.
- Avenue Capital Group provided a senior credit facility of up to $25 million, with an initial $10 million tranche.
- The company received approximately $11.5 million gross proceeds from the exercise of 12,777,778 existing warrants.
- New warrants to purchase 25,555,556 shares were issued to the institutional investor at an exercise price of $0.90 per share.
- Avenue Capital Group will receive warrants to purchase up to 11,111,111 shares at $0.90 per share.
- H.C. Wainwright & Co. received a 7.0% cash fee and warrants to purchase 894,444 shares at $1.125 per share.
- The net proceeds will primarily fund LYMPHIR commercialization efforts, including sales force expansion.
- Certain existing warrants for 15,697,024 shares were amended to reduce the exercise price to $0.90 per share.
Price Impact
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