BrainStorm Cell Therapeutics Inc. (OTCQB: BCLI) completed a private placement raising $400,000 in gross proceeds during May, the company announced.

The neurodegenerative disease therapy developer priced the shares at $0.95 each, representing a 37.6% premium over the previous day's closing price of $0.69. Investors received 120% warrant coverage with warrants exercisable at $1.45 per share over five years.

Two private placements totaling $200,000 closed on May 11, with the final placement for the remaining amount closing on May 18. The transaction follows BrainStorm's $2.0 million capital raise in February, which was priced at $0.60 per share with warrants at $1.00.

"The investor confidence reflected in this transaction speaks directly to the strength of our scientific foundation and future potential of NurOwn," said Chaim Lebovits, President and CEO. "While the total capital required for our Phase 3b Endurance trial is substantially larger, these high-premium placements serve the tactical purpose of extending our runway and supporting our regulatory momentum."

BrainStorm develops autologous adult stem cell therapies for neurodegenerative diseases. The company's NurOwn platform uses mesenchymal stem cells to produce neurotrophic factor-secreting cells designed to modulate neuroinflammation and promote neuroprotection.

The company completed a Phase 3 trial for its lead therapy targeting amyotrophic lateral sclerosis and plans to launch a second Phase 3b trial under a Special Protocol Assessment agreement with the FDA. NurOwn has received Orphan Drug designation from both the U.S. Food and Drug Administration and European Medicines Agency.