Abeona Therapeutics Announces $35 Million Private Placement Funding

Abeona Therapeutics Inc.

NEW YORK and CLEVELAND, Nov. 03, 2022 (GLOBE NEWSWIRE) — Abeona Therapeutics Inc. (Nasdaq: ABEO) today announced that it has entered into a securities purchase agreement to sell 7,065,946 shares of common stock and, in lieu of common stock, exercisable pre-funded warrants for 543,933 common stock and accompanying warrants to purchase 7,609,879 common stock from a group of new and existing institutional investors in a private placement. The offering price for each common share and accompanying warrant was $4.60, and the offering price for each pre-funded warrant and accompanying warrant was 4. $59, which equals the offering price per share of the common stock and accompanying warrant, less $0.01 per share exercise price of each pre-funded warrant. Each accompanying warrant will represent the right to purchase one common share of the Company at an exercise price of $4.75 per common share. The Prefunded Warrants and accompanying Warrants are exercisable immediately and will expire five years from the date of issue. Gross proceeds from the private placement are expected to be approximately $35,000,000, before placement agent fees and other expenses. The private placement is expected to close on November 7, 2022, subject to the satisfaction of customary closing conditions.

The private placement included participation from new and existing institutional investors, including Adage Capital Management LP, Armistice Capital, Deerfield Management Company, LP, EcoR1 Capital and Nantahala Capital, as well as other biotech investors.

Abeona intends to use the net proceeds of the proposed private placement for development, working capital and general corporate purposes. Abeona believes that the net proceeds from the proposed private placement together with its existing financial resources are sufficient to fund operations through the third quarter of 2024.

Cantor Fitzgerald & Co. acted as sole placement agent for the transaction.

The securities issued and sold under the private placement, including the common stock underlying the warrants, have not been registered under the Securities Act of 1933, as amended (the “Securities Act”), or state securities laws and may not be offered or sold in the United States except pursuant to an effective registration statement or an applicable exemption from the registration requirements of the Securities Act. Abeona has agreed to file a registration statement with the Securities and Exchange Commission (the “SEC”) recording the resale of the common stock and common stock issuable upon the exercise of the warrants issued pursuant to this private placement. Any offer of securities under a resale registration statement will be made only by means of a prospectus.

This press release does not constitute an offer to sell or the solicitation of an offer to buy, and there will be no sale of securities of Abeona in any state or other jurisdiction in which such offer, solicitation or sale would be illegal prior to registration. or qualification under the securities laws of such state or territory.

About Abeona Therapeutics
Abeona Therapeutics Inc. is a clinical-stage biopharmaceutical company developing cell and gene therapies for serious diseases. Abeona’s lead clinical program is EB-101, an investigational autologous cell therapy for recessive dystrophic epidermolysis bullosa. On November 3, 2022, Abeona reported that the co-primary, secondary and exploratory endpoints of its VIITAL™ Phase 3 clinical trial for EB-101 reached a high degree of statistical significance. The Company’s development pipeline also includes AAV-based gene therapies for ophthalmic diseases with high unmet medical need. Abeona’s new next-generation AAV capsids are being evaluated to improve tropism profiles for a variety of devastating diseases. Abeona’s fully integrated cell and gene therapy cGMP manufacturing facility produced EB-101 for the pivotal Phase 3 VIITAL™ study and is capable of clinically and potentially commercially producing EB-based gene therapies -101 and the AAV.

Forward-looking statements
This press release contains certain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, that involve risks and uncertainties. We have attempted to identify forward-looking statements by words such as “may”, “will”, “believe”, “anticipate”, “expect”, “intend” and similar expressions (as than other words or phrases referring to events, conditions or circumstances), which constitute and are intended to identify forward-looking statements. Actual results may differ materially from those indicated by these forward-looking statements due to various important factors, numerous risks and uncertainties, including, but not limited to, our ability to continue our business; the timing and outcome of our biologics license application submission to the FDA for EB-101; continued interest in our rare disease portfolio; our ability to recruit patients for clinical trials; the outcome of any future meetings with the FDA or other regulatory agencies; the ability to obtain or obtain necessary regulatory approvals; the impact of changes in financial markets and global economic conditions; risks associated with data analysis and reporting; and other risks disclosed in the company’s most recent annual report on Form 10-K and other periodic reports filed with the Securities and Exchange Commission. The Company undertakes no obligation to revise any forward-looking statements or to update them to reflect events or circumstances occurring after the date of this press release, whether as a result of new information, future developments or otherwise. , except as required by federal securities. laws.

CONTACT: Investor Relations and Media Contact: Greg Gin VP, Investor Relations and Corporate Communications Abeona Therapeutics [email protected]

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