Eterna completes strategic financial restructuring

Eterna (ERNA) Therapeutics announced the completion of a comprehensive financial restructuring of the Company with the aim to accelerate its developmental activities and long-term success. This restructuring includes reduction of its liabilities by discontinuing a longstanding lease, reducing the debt on its balance sheet and a new round of financing through a private investment in public equity investment. As a part of this financial restructuring, the Company has significantly reduced its liability by discontinuing a longstanding lease, resulting in an estimated $72 million in savings and a reduction of approximately $700,000 in monthly cash outflow. With shareholder approval at the October 29, 2024, annual meeting, the Company also completed a series of transactions that significantly reduced its balance sheet debt. The company has additionally secured a new round of $5 million in financing through a PIPE investment. Eterna continues to advance its lead therapeutic candidate ERNA-101, an induced pluripotent stem cells derived mesenchymal stem cells product designed to deliver IL-7/IL-15 selectively to tumors with an initial focus on triple-negative breast cancer and platinum-resistant, TP53-mutant ovarian cancer. With these ongoing initiatives and a stronger financial position, Eterna believes it’s well-positioned for IND-enabling studies and targets IND submissions by 2026.