HCW Biologics Inc. (NASDAQ: HCWB) announced the pricing of a private placement offering totaling approximately $4.0 million. The clinical-stage biopharmaceutical company sold 2,846,975 units at $1.405 per unit to healthcare investors under Nasdaq at-the-market rules.

Each unit includes one share of common stock priced at $1.28 per share or one pre-funded warrant at $1.2799 per warrant with an exercise price of $0.0001 per share, plus one warrant priced at $0.125. The warrants carry an exercise price of $1.28 per share and expire five and one-half years from issuance. The securities are immediately separable upon issuance.

E.F. Hutton & Co. LLC serves as the sole placement agent for the offering. The closing is expected to occur on or about May 21, 2025, subject to customary conditions.

The company plans to use net proceeds to continue clinical trials for HCW9302, advance IND-enabling studies for T-Cell Engager HCW11-018b and immune checkpoint inhibitor HCW11-040, fund general corporate purposes, and pay certain debts and settlements.

HCW Biologics entered into a registration rights agreement requiring submission of a Form S-1 registration statement to the Securities and Exchange Commission within 60 days of closing. The registration statement must cover resale of purchased shares and underlying warrant shares.

Individual investors cannot receive shares exceeding 4.99% of the company's outstanding common stock after giving effect to issuances, including shares from exercised pre-funded warrants.

HCW Biologics develops fusion immunotherapeutics for autoimmune diseases, cancer, and senescence-associated dysplasia.