BOSTON - TransCode Therapeutics, Inc. (NASDAQ:RNAZ), a biotech firm specializing in RNA oncology treatments, has announced its plans for a public offering of common stock and potentially pre-funded warrants. The company, which is currently engaged in clinical-stage development, has stated that the offering's completion is contingent on market conditions and no assurances can be made regarding its final terms or timing.
The Boston-based company aims to direct the net proceeds from this offering towards advancing its product development, particularly for TTX-MC138, its lead therapeutic candidate. The funds are also earmarked for clinical trials, investigational new drug (IND) enabling studies, working capital, and other general corporate purposes.
ThinkEquity is serving as the sole placement agent for the offering. The securities will be offered in accordance with a shelf registration statement on Form S-3, which was filed with the U.S. Securities and Exchange Commission (SEC) on December 13, 2022, and became effective on December 16, 2022. Prospective investors are advised to consult the preliminary prospectus supplement and accompanying prospectus available on the SEC's website for more details.
TransCode's focus is on the treatment of metastatic cancer, utilizing its proprietary TTX nanoparticle platform. Its lead candidate, TTX-MC138, targets metastatic tumors that overexpress microRNA-10b. Additionally, the company is developing a portfolio of RNA therapeutic candidates aimed at addressing RNA delivery challenges to target a range of genetic factors in various cancers.
The company has cautioned that this press release contains forward-looking statements which involve substantial risks and uncertainties. These include the successful completion of the offering and the intended use of proceeds. TransCode has emphasized that these statements are based on current expectations and that actual events could differ materially.
This announcement is based on a press release statement and does not constitute an offer to sell or a solicitation of an offer to buy any securities. The sale of these securities will not be lawful in any state or jurisdiction where such offer, solicitation, or sale would be unlawful prior to registration or qualification under the securities laws of that state or jurisdiction.
In other recent news, TransCode Therapeutics has made significant strides in both its corporate governance and clinical trials. The pharmaceutical preparations company recently held its Annual Meeting of Stockholders, electing four directors and approving an amendment to increase shares for issuance under the company's 2021 Stock Option and Incentive Plan. However, a proposal for a reverse stock split was rejected by stockholders.
TransCode Therapeutics has also regained compliance with Nasdaq's listing standards, ensuring its continued presence on the stock market. The company has avoided potential delisting and canceled a previously scheduled hearing with the Nasdaq Panel.
Furthermore, the company reported encouraging early results from its Phase 0 clinical trial of the RNA-based cancer drug, TTX-MC138. The drug has shown potential anti-tumor activity and a significant reduction in the molecular target miRNA-10b in a patient's blood.
The company has received FDA authorization to commence a Phase 1/2 clinical trial for TTX-MC138, aimed at assessing the safety and preliminary anti-tumor activity of the drug in patients with advanced solid tumors.
These are among the recent developments at TransCode Therapeutics, indicating the company's progress in both its corporate and clinical endeavors.
InvestingPro Insights
As TransCode Therapeutics, Inc. (NASDAQ:RNAZ) prepares for its public offering, investors may be weighing the potential risks and rewards associated with the company's stock. According to InvestingPro, the company holds more cash than debt on its balance sheet, which could be a positive sign for investors looking for a stable financial base in a volatile market. However, InvestingPro also notes that the company is quickly burning through cash, which could raise concerns about its long-term financial sustainability.
InvestingPro Data reveals that TransCode's market capitalization stands at a modest 5.81 million USD, reflecting the size and growth stage of the company. Moreover, the company's Price / Book ratio as of the last twelve months ending Q1 2024 is 1.3, which provides a glimpse into how the market values the company relative to its book value. Notably, the company's stock has experienced a significant 80.61% return over the last three months, suggesting a strong recent performance that may attract investors looking for short-term gains.
For those considering an investment in TransCode, it's worth noting that the company does not pay a dividend to shareholders, which may influence the decision of income-focused investors. Moreover, analysts do not anticipate the company will be profitable this year, highlighting the speculative nature of investing in TransCode at this time. For a more comprehensive analysis and additional InvestingPro Tips, including the 13 other tips not mentioned here, visit InvestingPro and consider using the coupon code PRONEWS24 to get up to 10% off a yearly Pro and a yearly or biyearly Pro+ subscription.
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