FibroBiologics Secures $25 Million Financing with D. Boral Capital as Exclusive Placement Agent

FibroBiologics, Inc. (Nasdaq: FBLG), a clinical-stage biotechnology company specializing in the development of therapeutics and potential cures for chronic diseases using fibroblasts and fibroblast-derived materials, has announced the successful completion of a $25 million financing round. D. Boral Capital served as the exclusive placement agent for this transaction, demonstrating the company's commitment to supporting FibroBiologics' innovative research and development efforts.

The financing round, which closed on December 23, 2024, was facilitated through a Standby Equity Purchase Agreement (SEPA) with YA II PN LTD., an investment fund managed by Yorkville Advisors Global, LP. Under the terms of the SEPA, FibroBiologics can sell up to $25 million in common stock to Yorkville over a two-year period, subject to customary conditions.

Yorkville agreed to advance the first $15 million available under the SEPA in three equal tranches, evidenced by convertible promissory notes. The first tranche of $5 million was funded upon entry into the SEPA, with the remaining two tranches subject to specific conditions, such as the filing of a registration statement covering the resale of the shares issuable to Yorkville under the promissory notes and the receipt of shareholder approval in satisfaction of Nasdaq rules. FibroBiologics can also sell an additional $10 million of its common stock to Yorkville, subject to Yorkville's consent and other conditions, while the convertible promissory notes remain outstanding.

Pete O'Heeron, Founder & Chief Executive Officer of FibroBiologics, expressed his enthusiasm about the financing, stating, "The initial advances from this financing will allow us to complete our first-in-human trial for diabetic foot ulcers as well as IND-enabling studies for our psoriasis program. We expect to further develop our human longevity, multiple sclerosis, and cancer indications by utilizing the remaining capital available under the SEPA."



The financing will enable FibroBiologics to advance its clinical pipeline and expand its research and development efforts. The company's current pipeline includes:

1. Diabetic Foot Ulcers: FibroBiologics is preparing for a Phase 1/2 clinical trial in Australia utilizing its fibroblast-based spheroids product candidate, CYWC628, to treat diabetic foot ulcers, with plans to initiate the trial in the second quarter of 2025.
2. Psoriasis: The company is conducting IND-enabling studies for its psoriasis program, with the goal of completing these studies by the end of 2025.
3. Human Longevity: FibroBiologics is exploring potential extension of life applications, including recovery of lost thymic functionality using transplanted artificial thymic organoids in animal models, which has demonstrated promising results.
4. Multiple Sclerosis and Cancer: The company is also developing treatments for multiple sclerosis and cancer indications, utilizing its proprietary cell therapy and regenerative medicine technologies.



In conclusion, FibroBiologics' successful $25 million financing round, facilitated by D. Boral Capital, will enable the company to advance its clinical pipeline and expand its research and development efforts. With a strong focus on innovative therapies for chronic diseases, FibroBiologics is well-positioned to make a significant impact on the biotechnology industry and improve the lives of patients worldwide.