CASI Pharmaceuticals (NASDAQ:CASI) announced a $20 million convertible note financing with ETP Global III Fund LP, a partnership controlled by Dr. Wei‑Wu He. The deal will be executed through a private placement, with the company issuing and selling up to $20 million in convertible notes to the purchaser.
The proceeds are earmarked for two key initiatives: funding the Phase 1 study of CID‑103, an anti‑CD38 monoclonal antibody, in renal allograft antibody‑mediated rejection (AMR) in China, and supporting the development of a high‑concentration protein solution for subcutaneous formulation. These projects represent the company’s sole remaining clinical asset after divesting its China hematology‑oncology business.
CASI’s financial position underscores the urgency of the financing. In the third quarter of 2025, the company reported revenue of $3.1 million, a 60 % decline year‑over‑year, and a net loss of $10.9 million. Cash reserves were low, and the company faced a Nasdaq delisting overhang, making the new capital infusion a critical lifeline to sustain operations and advance CID‑103.
The financing is structured in tranches, with subsequent closings contingent on the purchaser’s satisfaction with CASI’s business results and financial status. This conditional approach reflects investor caution while still providing the company with the flexibility to secure the needed runway. The deal’s 12 % interest rate and potential dilution are offset by the immediate cash benefit and the ability to continue clinical development without further debt or equity issuance.
Investors reacted positively to the announcement, viewing the financing as a decisive step to stabilize the company’s financial footing and keep its flagship program on track. Analysts noted that the $20 million infusion will extend CASI’s runway, allowing it to focus on CID‑103’s development milestones while navigating the current revenue contraction and delisting risk.
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