Galectin Therapeutics converts $105.8M in debt to equity

Galectin Therapeutics Inc. (NASDAQ: GALT) announced that its chairman and largest stockholder, Richard E. Uihlein, converted approximately $105.8 million in outstanding debt into common stock, effective July 31, 2026.

The transaction eliminated $91.0 million in principal and approximately $14.8 million in accrued interest across five line of credit facilities. In exchange, the company issued 34,376,167 shares of common stock to Mr. Uihlein at a blended average conversion price of approximately $3.07 per share, based on pre-existing conversion rights under the applicable promissory notes.

Following the conversion, Galectin had 100,849,644 shares of common stock outstanding as of July 31, 2026.

The conversion covered notes issued under a Line of Credit Letter Agreement dated July 25, 2022, and supplemental facilities dated March 29, 2024, November 14, 2024, March 31, 2025, and July 8, 2025. A sixth facility from a December 2025 supplemental agreement, providing up to $10 million in additional financing, was not drawn upon and remains unaffected.

The shares were issued under the exemption from registration provided by Section 3(a)(9) of the Securities Act of 1933. The company is required to register the resale of the shares within 180 days of the conversion date.

"By eliminating over $105 million in debt, we have dramatically improved our capitalization and strengthened our ability to advance our strategy and operations," said Joel Lewis, Chief Executive Officer of Galectin Therapeutics.

Galectin Therapeutics is a clinical-stage biopharmaceutical company developing therapies targeting galectin-3 for the treatment of liver fibrosis and portal hypertension associated with MASH cirrhosis.

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