Defence Therapeutics announces private placement for up to $11 million

Defence Therapeutics Inc. (CSE: DTC) (OTCQB: DTCFF) (FSE: DTC) announced a private placement offering of up to 20 million units at $0.55 per unit for gross proceeds of up to $11 million. Each unit consists of one common share and one warrant exercisable at $0.65 per share for 24 months.

The Montreal-based biotechnology company has executed a binding term sheet with two institutional investors for $6 million of the offering. Under a sharing agreement, the company will receive monthly cash payments of $333,333 over 18 months, beginning five months after closing.

The sharing agreement includes a benchmark price of $0.7332 per share. If the company's 20-day volume-weighted average trading price exceeds this benchmark at settlement, Defence Therapeutics will receive more than 100% of the monthly payment. If the trading price falls below the benchmark, the company will receive less than the full payment amount.

The investors will receive warrants exercisable at $0.65 per share for 24 months, with an equity blocker provision preventing ownership above 9.99% of outstanding shares. The investors will also receive a corporate finance fee of $360,000, payable in cash or units at the company's discretion.

Defence Therapeutics plans to use proceeds to advance its antibody drug conjugate and radiopharmaceutical programs, develop partnerships and for working capital. The company will pay a non-refundable deposit of $65,000 upon receiving Canadian Securities Exchange approval.

The private placement is expected to close around March 6, 2026, subject to CSE approval. All securities will be subject to applicable resale restrictions under Canadian securities laws.

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