Company: IOBT
Filing Date: 2025-07-24
Form Type: S-3
Source: 0001193125-25-164495
Chunk: 6

Company: IO Biotech, Inc.
Filing Date: 2025-07-24
Form: S-3
Chunk 6
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 the issuance of warrants and
achievement of certain clinical trial and other milestones.

Concurrently with the execution of the Finance Contract, the Borrower entered into a non-binding side letter, pursuant to which EIB may, in its discretion and subject to approvals by its investment committee, make available to the Borrower an additional €20.0 million in funding related to
the Company’s ongoing clinical trials.

In connection with the Finance Contract, the Company also entered into the Warrant Issuance Agreement on
December 19, 2024, pursuant to which the Company agreed to sell and issue to EIB certain warrants to purchase shares of the Company’s common stock, par value $0.001 per share (the “Common Stock”) in connection with the
disbursement of each of the Tranche A loan (such warrants, the “Tranche A Warrants”), Tranche B loan (such warrants, the “Tranche B Warrants”) and Tranche C loan (such warrants, the “Tranche C Warrants” and together
with the Tranche A Warrants and the Tranche B Warrants, the “EIB Warrants”). The number of shares for which the Warrants will be exercisable will be determined at the time of issuance of each Warrant in accordance with the formulas set
forth in the Warrant Issuance Agreement, which formulas generally provide that the number of shares will decrease as the price of the Common Stock increases. On April 24, 2025 we issued EIB the Tranche A Warrants, to purchase up to 5,623,664.38
Shares. On May 6, 2025, we received the €10.0 million disbursement. On June 24, 2025, we issued EIB the Tranche B Warrants, to purchase up to 4,221,867.59 Shares. On July 4, 2025, we received the €12.5 million
disbursement. The Tranche C Warrants have not yet been issued as of the date of this prospectus.

2

The Company also entered into the Registration Rights Agreement with EIB in connection with the Warrant
Issuance Agreement. Under the terms of the Registration Rights Agreement, the Company agreed to prepare and file the registration statement of which this prospectus forms a part to register the shares of Common Stock underlying the Class A
Warrants, by the later of (i) 30 days after the date of issuance of any of the E