1. Palisade Bio announces pricing for a public offering of 171 million shares. 2. Offer price set at $0.70 per share, with $120 million expected in gross proceeds. 3. Underwriters have a 45-day option to purchase additional shares. 4. Closing of the offering is expected around October 2, 2025. 5. A registration statement for the offering was declared effective by the SEC.
Large stock offerings can dilute existing shares, negatively impacting stock price. Historical examples show similar offerings often lead to price declines short-term.
Large capital raises usually impact stock prices through dilution concerns. Current offering is substantial and recent.
Investors typically react negatively to dilution during offering announcements. Price effects are most significant immediately after offering.
Carlsbad, CA, Oct. 01, 2025 (GLOBE NEWSWIRE) -- Palisade Bio, Inc. (NASDAQ:PALI) ("Palisade" or the "Company"), a clinical-stage biopharmaceutical company focused on developing and advancing novel therapeutics for patients living with autoimmune, inflammatory, and fibrotic diseases, today announced the pricing of an underwritten public offering of 171,440,559 shares of its common stock (or common stock equivalents) at a public offering price of $0.70 per share (or $0.6999 per common stock equivalent).
Ladenburg Thalmann & Co. Inc. is acting as the sole book-running manager for the offering.
In addition, Palisade has granted the underwriters a 45-day option to purchase up to an additional 25,714,285 shares of its common stock at the public offering price, less underwriting discounts and commissions.
The gross proceeds from the offering, before deducting underwriting discounts and commissions and other estimated offering expenses payable by Palisade, are expected to be approximately $120 million, excluding any exercise of the underwriters' option to purchase additional shares. The offering is expected to close on or about October 2, 2025, subject to the satisfaction of customary closing conditions.
A registration statement on Form S-1 (File No. 333-290568) relating to the offering of these securities was declared effective by the Securities and Exchange Commission (the "SEC") on September 30, 2025 and an additional registration statement on Form S-1 filed pursuant to Rule 462(b), which was filed on October 1 2025, which became effective upon filing. Copies of the registration statement can be accessed by visiting the SEC website at www.sec.gov. The securities referred to in this release are to be offered only by means of a prospectus. A preliminary prospectus describing the terms of the offering has been filed with the SEC and forms a part of the effective registration statement. When available, a copy of the final prospectus relating to the offering may be obtained from: Ladenburg Thalmann & Co. Inc. at 640 Fifth Avenue, 4th Floor, New York, New York 10019, by calling (212) 409-2000, or by emailing prospectus@ladenburg.com.
This press release shall not constitute an offer to sell or the solicitation of an offer to buy these securities, nor shall there be any sale of these securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.
About Palisade Bio
Palisade Bio is a clinical-stage biopharmaceutical company focused on developing and advancing novel therapeutics for patients living with autoimmune, inflammatory, and fibrotic diseases. The Company believes that by using a targeted approach with its novel therapeutics it will transform the treatment landscape. For more information, please go to www.palisadebio.com.
Forward Looking Statements
Statements in this press release about future expectations, plans and prospects, as well as any other statements regarding matters that are not historical facts, may constitute "forward-looking statements." These statements include, but are not limited to, statements relating to the ability of the Company to close the offering, the anticipated use of proceeds, expected trading commencement and closing dates. The words, without limitation, "believe," "contemplate," "continue," "could," "estimate," "expect," "intend," "may," "might," "plan," "potential," "predict," "project," "should," "target," "will" or "would" or the negative of these terms or other similar expressions are intended to identify forward-looking statements, although not all forward-looking statements contain these or similar identifying words. Actual results may differ materially from those indicated by such forward-looking statements as a result of various important factors, including: the uncertainties related to market conditions and the completion of the public offering on the anticipated terms of the offering or at all, and other factors discussed in the "Risk Factors" section of the preliminary prospectus that forms a part of the effective registration statement filed with the SEC, including our filings incorporated by reference in such registration statement. Any forward-looking statements contained in this press release are based on the current expectations of Palisade's management team and speak only as of the date hereof, and Palisade specifically disclaims any obligation to update any forward-looking statement, whether as a result of new information, future events or otherwise.
Investor Relations Contact
JTC Team, LLC
Jenene Thomas
908-824-0775
PALI@jtcir.com
