By: IPP Bureau
Last updated : August 25, 2026 8:27 am
The transaction also includes warrants that become exercisable upon FDA approval of the drug for pulmonary hypertension
Gossamer Bio, a California based biopharma company, has entered into a private placement agreement for up to $250 million, including $150 million in committed capital, to support the development and potential US Food and Drug Administration (FDA) approval of seralutinib for pulmonary hypertension.
Seralutinib is being developed for the treatment of pulmonary arterial hypertension (PAH) and pulmonary hypertension associated with interstitial lung disease (PH-ILD).
Gossamer plans to submit a New Drug Application (NDA) for seralutinib in PAH by September 2026, with the financing expected to support the programme through regulatory review and potential commercialisation.
The financing is structured around key regulatory milestones. The initial closing is expected to generate approximately $25 million through the sale of pre-funded warrants priced at $0.14 per share, less a nominal exercise price.
A subsequent closing would provide an additional $125 million upon FDA acceptance of the seralutinib NDA. Under the terms of the agreement, participating investors have committed to fund the second tranche if the NDA is accepted as anticipated.
The transaction also includes warrants that become exercisable upon FDA approval of seralutinib. If fully exercised at $0.187 per share, the warrants could provide Gossamer with up to an additional $100 million.
The warrants will expire either 30 days after achievement of the FDA approval milestone or five years from their issuance, whichever is applicable under the agreement.
The financing involves institutional investors including EcoR1 Capital and RA Capital Management, with Leerink Partners and Cantor acting as joint placement agents.
Faheem Hasnain, chairman, co-founder and CEO of Gossamer Bio, said the committed funding structure aligns capital availability with key regulatory milestones and is expected to support the planned submission and review of the NDA.
The financing comes after Gossamer recently regained global rights to seralutinib. The company said the net proceeds are expected to provide sufficient funding to sustain operations into 2028, while advancing seralutinib's clinical development and potential commercial launch.