Jun. 16 at 12:12 PM
$ALZN Alzamend Neuro announces final closing of
$5M private placement
Alzamend Neuro has completed the final closing of its
$5 million private placement. As previously reported, on February 28, 2025, Alzamend entered into a Securities Purchase & Exchange Agreement with a sophisticated investor, pursuant to which Alzamend agreed to sell to the Investor up to 500 shares of Series C Convertible Preferred Stock and warrants to purchase shares of Alzamend's common stock for a total purchase price of up to
$5 million, less a five percent discount in seven monthly tranche closing, starting in April 2025, with the Investor having the ability, in its sole discretion, to purchase Preferred Stock prior to the dates set for each Tranche Closing.
On Friday, June 13, 2025, the Investor purchased the remaining available shares of Preferred Stock in the Financing, months ahead of the originally scheduled final Tranche Closing in October 2025. With
$5 million in gross proceeds from this Financing received, Alzamend's financial position is significantly increased, and Alzamend would receive additional proceeds should the Investor exercise the Warrants.
The capital raised will be used to support the five Phase II clinical trials of AL001 "Lithium in Brain" Studies at Massachusetts General Hospital. The first trial, in healthy human subjects, was initiated in May 2025 and Alzamend expects to present topline data from this study by the end of 2025.
The second trial, for treatment of patients with BD, is expected to commence in the third quarter of 2025. The remaining three trials, for treatment of patients with Alzheimer's, MDD and PTSD are each expected to commence in the fourth quarter of 2025.
