MAIA Biotechnology, Inc. (NYSE American: MAIA) has announced a $2.44 million private placement to fund the manufacturing of THIO for its Phase 2 THIO-101 trial in non-small cell lung cancer (NSCLC). The financing, secured through the sale of 1,079,784 common stock shares at $2.259 per share, involves accredited investors and company directors, signaling internal confidence in the company's lead program.
The private placement includes warrants for the purchase of an additional share of common stock at $2.51 per share. These warrants are exercisable six months post-issuance and have a five-year term. The funds are specifically earmarked for the production of THIO, a potential first-in-class cancer telomere targeting agent, to be used in the Phase 2 THIO-101 clinical trial. This trial is focused on NSCLC patients whose cancer cells are telomerase-positive.
THIO-101 Trial and NSCLC Treatment Landscape
The THIO-101 trial is a Phase 2 study evaluating the efficacy and safety of THIO in patients with NSCLC. NSCLC accounts for approximately 80-85% of all lung cancer cases, representing a significant unmet medical need. Current treatments include surgery, radiation therapy, chemotherapy, targeted therapies, and immunotherapies. However, many patients develop resistance or do not respond to these treatments, highlighting the need for novel therapeutic approaches.
THIO is designed to target telomeres, which are protective caps on the ends of chromosomes. Cancer cells often maintain telomere length through the activation of telomerase, an enzyme that is not typically active in normal adult cells. By targeting telomerase-positive cancer cells, THIO aims to selectively inhibit cancer cell growth and induce cell death.
Financial Implications and Future Outlook
The $2.44 million capital injection is expected to provide MAIA Biotechnology with the necessary resources to advance the THIO-101 trial. The participation of company directors in the private placement underscores their belief in the potential of THIO and the company's overall strategy. While the issuance of new shares and warrants may lead to dilution for existing shareholders, the funding is crucial for supporting the clinical development of THIO and potentially bringing a new treatment option to NSCLC patients.
MAIA Biotechnology is focused on developing and commercializing potential first-in-class drugs with novel mechanisms of action to improve and extend the lives of people with cancer. The THIO-101 trial represents a key milestone in the company's efforts to address unmet needs in cancer treatment.
