Company: HCWB
Filing Date: 2025-04-16
Form Type: 424B3
Source: 0001193125-25-082835
Chunk: 16

Company: HCW Biologics Inc.
Filing Date: 2025-04-16
Form: 424B3
Chunk 16
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 issue additional shares or other equity or debt securities convertible into shares. Any such issuance could result in substantial dilution to our existing stockholders and could cause our share price to
decline.

We may not have access to the full amount available under the ELOC Purchase Agreement.

Under the ELOC Purchase Agreement, we will have the right to direct Square Gate to purchase shares of our Common Stock from time to time by
presenting Square Gate with put notices directing Square Gate to

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purchase amounts of our Common Stock per Put, as limited pursuant to the terms of the ELOC Purchase Agreement, at a per-share price equal to 98% of the lowest VWAPs during the three days
following the put notice date. See the section entitled “The ELOC Transaction,” below.

Although the ELOC Purchase
Agreement provides that we may sell up to $40,000,000 of our Common Stock to Square Gate, depending on the market prices of our Common Stock, we may not be able to nor desire to sell any or all of the shares contemplated by the ELOC Purchase
Agreement. In addition, if the number of shares registered hereby is insufficient to cover all of the shares we elect to sell to Square Gate under the ELOC Purchase Agreement, we will be required to file one or more additional registration
statements to register such additional shares.

The extent to which we rely on Square Gate as a source of funding will depend on several
factors, including the prevailing market price of our Common Stock and the extent to which we are able to secure working capital from other sources. Even if we sell a significant number of shares under the ELOC Purchase Agreement to Square Gate, we
may still need additional capital to fully implement our business, operating and development plans. Should the financing we require to sustain our working capital needs be unavailable or prohibitively expensive when we require it, the consequences
could be a material adverse effect on our business, operating results, financial condition and prospects.

Square Gate will pay less than the then-prevailing market price for our Common Stock, which could cause the price of our Common Stock to decline.

The purchase price
of Common Stock sold to Square Gate under the ELOC Purchase Agreement is derived from the market price of our Common Stock. The shares to be sold to Square Gate pursuant to the ELOC Purchase Agreement will be purchased at a discounted price as
described above. Sales by Square Gate of our Common Stock could cause the price of our Common Stock to decrease. These sales may have a further