PDS Biotechnology Corporation (NASDAQ: PDSB) announced it has raised up to $22.55 million in equity funding through a Private Investment in Public Equity (PIPE) transaction led by Nant Capital, LLC, an entity affiliated with Dr. Patrick Soon-Shiong, founder of NantWorks.

The financing consists of two tranches. An initial closing, expected on or about September 11, 2026, is set to raise approximately $11.55 million through the sale of common stock, pre-funded warrants, and accompanying common stock purchase warrants at $0.2825 per unit. A second milestone closing of up to $11 million will be triggered upon the company's submission of a Phase 3 clinical trial protocol for its lead candidate, PDS0301, to the U.S. Food and Drug Administration.

In connection with the transaction, Nant Capital will have the right to designate two members to PDS Biotech's board of directors, including Dr. Soon-Shiong, provided Nant beneficially owns 15% or more of the company's outstanding common stock.

The company said proceeds will be used to repay outstanding debt and for working capital, research and development, and general corporate purposes, including continued clinical development of PDS0301, an investigational tumor-targeted interleukin-12 immunocytokine.

The financing is intended to advance PDS0301 into late-stage clinical development. In a National Cancer Institute-led Phase 2 trial, PDS0301 added to standard-of-care therapy in 22 patients with microsatellite stable and mismatch repair-proficient metastatic colorectal cancer showed 80% of patients surviving at least 24 months, according to the company's statement.

As part of the transaction, PDS Biotech will grant NantWorks, LLC a one-year exclusive right to negotiate a license to PDS0101, the company's investigational HPV-targeted immunotherapy candidate.

The securities issued in the PIPE have not been registered under the Securities Act of 1933 and are subject to applicable resale restrictions. The company has agreed to file a registration statement with the SEC covering the resale of shares issued in the transaction.