Company: LCTX
Filing Date: 2025-01-27
Form Type: 8-K
Source: 0000950170-25-009227
Chunk: 2

Company: Lineage Cell Therapeutics, Inc.
Filing Date: 2025-01-27
Form: 8-K
Item: Item 8.01
Chunk 2
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Item 8.01 Other Events.

Following receipt of stockholder approval of proposal 1 described in Item 5.07 of this report, we closed the second tranche of the registered direct offering announced on November 20, 2024. In connection with such closing, we issued 7,894,737 common shares and an accompanying warrant to purchase an aggregate of up to 7,894,737 common shares, at a combined purchase price of $0.76 per common share and accompanying warrant, to Broadwood Partners, L. P., an affiliate of Neal Bradsher, a member of our board of directors. Such warrant will be exercisable for one common share at an exercise price of $0.91 per common share commencing on May 21, 2025 and will expire on the earlier of (a) May 21, 2028, and (b) the 90th day following the date of the public disclosure of the intent to advance OpRegen® (also known as RG6501) into a multi-center phase 2 or 3 clinical trial which includes a control or comparator arm, or if the date of such public disclosure occurs prior to May 21, 2025, the 90th day following May 21, 2025. The foregoing description of the warrant does not purport to be complete and is qualified in its entirety by the full text thereof, a copy of which is attached as an exhibit 4.1 to this report and incorporated by reference herein.

We received $6 million in gross proceeds at the closing, before deducting placement agent’s fees and other offering expenses payable by us. We received $24 million in gross proceeds at the first closing of the offering in November 2024 and may receive up to an additional $36 million of gross proceeds upon the exercise in full on a cash basis of the warrants issued in the offering. No assurance can be given that any of the warrants issued in the offering will be exercised on a cash basis, or at all. We currently plan to use the net proceeds from the offering for working capital and general corporate purposes, including research and development expenses and capital expenditures.

We also issued warrants to H. C. Wainwright & Co., who acted as the exclusive placement agent for the offering, or its designees to purchase an aggregate of up to 394,736 common shares. Such warrants have substantially the same terms as the warrant described above, except they have an exercise price of $0.95 per common share