Funding Extends Company's Cash Runway into Second Quarter 2025, which is beyond the Anticipated Timing for SHIELD II Top-line Results if Warrants are Fully Exercised More than 300 Patients Enrolled in Ongoing SHIELD II Phase 3 Trial of D-PLEX100 for the Prevention of Abdominal Colorectal Surgical Site Infections Unblinded Interim Analysis to be Conducted Once Approximately 400 Patients Complete Their 30-Day Follow-up Expected in Fourth Quarter of 2024; Top-Line Results Anticipated in First Quarter of 2025 PETACH TIKVA, Israel, Aug. 02, 2024 (GLOBE NEWSWIRE) -- PolyPid Ltd. (NASDAQ:PYPD) ("PolyPid" or the "Company"), a late-stage biopharma company aiming to improve surgical outcomes, today announced that it has entered into a securities purchase agreement for a private placement financing (the "PIPE") for $8.1 million in gross proceeds priced at $3.61 per share. The PIPE syndicate is comprised of both new and existing investors. Under the securities purchase agreement, the investors have agreed to purchase 2,235,457 of the Company's ordinary shares, no par value per share (the "Ordinary Shares"), or pre-funded warrants in lieu thereof, at a purchase price of $3.61 per share (or pre-funded warrant). The investors will also receive 75% warrant coverage, to purchase up to 1,676,588 Ordinary Shares at an exercise price of $3.61 per share. The warrants expire upon the earlier of two years from the date of issuance and 10 trading days following PolyPid's announcement of the recommendation by Data Safety Monitoring Board regarding the Company's unblinded interim analysis in its SHIELD II Phase 3 trial of D-PLEX100 resulting in either the stopping of the trial due to positive efficacy, or continuation to planned patient recruitment (up to 630 subjects). Exercise of the warrants in full would result in an additional $6.1 million in gross proceeds to the Company. The PIPE is expected to close on August 6, 2024, subject to the satisfaction of customary closing conditions. The Company intends to use the net proceeds from the sale of the securities for its ongoing SHIELD II phase 3 clinical trial for the prevention of surgical site infections in patients undergoing abdominal colorectal surgery, working capital and general corporate purposes. The gross proceeds from the financing extend the Company's cash runway into first quarter of 2025, beyond expected completion of enrollment in SHIELD II. If all warrants issued in this financing are exercised, the Company would be funded beyond top-line results and into the second quarter of 2025. To date, more than 300 patients have been enrolled in the ongoing SHIELD II Phase 3 trial. Unblinded interim analysis is planned to be conducted once approximately 400 patients complete their 30-day follow-up, which is expected to occur in the fourth quarter ...