FibroBiologics announces $25M financing

FibroBiologics (FBLG) has entered into a Standby Equity Purchase Agreement with YA II PN, an investment fund managed by Yorkville Advisors Global. The agreement allows FibroBiologics, subject to customary conditions, to sell up to $25M in the aggregate of its common stock to Yorkville over the course of two years. Yorkville agreed to advance to FibroBiologics the first $15M available under the SEPA in three equal tranches to be evidenced by convertible promissory notes. The first tranche in the amount of $5M was funded upon entry into the SEPA. Subject to the satisfaction of certain conditions, the second tranche of $5M will fund after the filing of a registration statement covering the resale of the shares issuable to Yorkville under the promissory notes, and the third tranche of $5M will fund following the effectiveness of the registration statement and receipt of shareholder approval in satisfaction of Nasdaq rules. FibroBiologics can sell an additional $10M of its common stock to Yorkville, subject to Yorkville’s consent and other conditions, while the convertible promissory notes remain outstanding.