Virax Biolabs raises $5 million in private placement

Virax Biolabs Group Limited (NASDAQ: VRAX) entered into agreements to sell 12.5 million ordinary shares and associated preferred investment options at $0.40 per share in a private placement expected to raise $5 million in gross proceeds.

The biotechnology company said the preferred investment options carry an exercise price of $0.40 per ordinary share and will be exercisable for five years from the effective date of an initial registration statement. H.C. Wainwright & Co. is serving as the exclusive placement agent for the offering.

The private placement is expected to close on or about December 4, 2025, subject to customary closing conditions. Virax plans to use the net proceeds for working capital and general corporate purposes, according to the company's statement.

As part of the transaction, Virax agreed to reduce the exercise price of certain Series A and Series B Preferred Investment Options issued to an investor on March 10, 2023, to match the exercise price of the new preferred investment options. The company will also extend the term of those prior options to expire five years from the effective date of the initial registration statement.

The securities have not been registered under the Securities Act of 1933 and may not be resold in the United States except under an effective registration statement or applicable exemption. Virax committed to file an initial registration statement with the SEC covering the resale of the ordinary shares and have it declared effective within 45 days in the event of a full SEC review.

Virax develops T cell-based test technologies for immune response detection and viral disease diagnosis, focusing on immunology profiling platforms for conditions including Long COVID and other chronic conditions linked to immune dysregulation.

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