Predictive Oncology Inc. announces a $10 million standby equity purchase agreement with Yorkville Advisors to support its drug discovery efforts.
Quiver AI Summary
Predictive Oncology Inc. has announced a standby equity purchase agreement (SEPA) with YA II PN, LTD, managed by Yorkville Advisors Global, LP. This partnership aims to provide Predictive Oncology with a flexible source of funding, amounting to a potential $10 million for advancing its drug discovery, biomarker development, and drug repurposing efforts. The agreement allows the company to control the timing and amount of stock sales without minimum commitments or penalties and does not impose restrictions on its operations. Predictive Oncology specializes in AI-driven drug discovery, utilizing its platform, PEDAL, to enhance drug response predictions for tumor samples. The company is based in Pittsburgh, PA, and provides a comprehensive AI-based drug discovery solution through its extensive biobank and laboratory facilities.
Potential Positives
- Predictive Oncology has secured a flexible funding source through a $10 million standby equity purchase agreement with Yorkville Advisors, enabling it to further its drug discovery and biomarker initiatives.
- The company retains full control over the timing and amount of stock sales, providing it with operational flexibility without any minimum commitments or penalties.
- Predictive Oncology's AI platform, PEDAL, demonstrates significant predictive accuracy (92%) for tumor responses, positioning the company as a leader in AI-driven drug discovery.
- With access to a vast biobank of over 150,000 human tumor samples, Predictive Oncology can offer robust solutions to partners in the biopharmaceutical industry.
Potential Negatives
- Entering into a standby equity purchase agreement may indicate liquidity issues, suggesting the company requires additional funding to support its operations.
- The reliance on external investment for funding could raise concerns among investors regarding the company’s financial stability and long-term viability.
- Forward-looking statements highlight risks and uncertainties, which may cause apprehension among stakeholders about future performance and operational projections.
FAQ
What is the purpose of the standby equity purchase agreement (SEPA)?
The SEPA provides Predictive Oncology with flexible funding for drug discovery and business development initiatives.
How much funding can Predictive Oncology access through the SEPA?
Predictive Oncology can access up to $10 million worth of the company's stock through the SEPA.
Does the SEPA impose restrictions on company operations?
No, the SEPA does not impose any restrictions on Predictive Oncology's operating activities.
What technology does Predictive Oncology use for drug discovery?
Predictive Oncology utilizes an AI platform called PEDAL, which predicts tumor responses to drug compounds.
Where is Predictive Oncology headquartered?
Predictive Oncology is headquartered in Pittsburgh, Pennsylvania.
Disclaimer: This is an AI-generated summary of a press release distributed by GlobeNewswire. The model used to summarize this release may make mistakes. See the full release here.
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Full Release
PITTSBURGH, July 08, 2025 (GLOBE NEWSWIRE) -- Predictive Oncology Inc. (NASDAQ: POAI), a leader in AI-driven drug discovery, announced today that it has entered into a standby equity purchase agreement (“SEPA”) with YA II PN, LTD, an investment fund managed by Yorkville Advisors Global, LP (“Yorkville”). Predictive Oncology expects the partnership to provide an efficient and flexible source of funding, enabling the company to progress its ongoing drug discovery, biomarker discovery and drug repurposing initiatives, and business development opportunities with leading biopharmaceutical companies, leveraging its novel AI and machine learning capabilities.
Under the terms of the agreement, Predictive Oncology has the right to sell, and Yorkville has the obligation to purchase up to $10 million worth of the Company’s stock. Predictive Oncology, at its sole discretion, will control the timing and amount of all sales of common stock, and there are no warrants, derivatives, or other share classes associated with the SEPA. The Company is not obligated to utilize any of the $10 million available under the SEPA and there are no minimum commitments or minimum use penalties. The SEPA does not impose any restrictions on the Company’s operating activities.
A copy of the SEPA is available in the Company's Form 8-K that has been filed with the Securities and Exchange Commission.
This news release shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of these common shares in any jurisdiction in which such offer, solicitation, or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction.
About Predictive Oncology
Predictive Oncology is on the cutting edge of the rapidly growing use of artificial intelligence and machine learning to expedite early drug discovery and enable drug development for the benefit of cancer patients worldwide. The company’s scientifically validated AI platform, PEDAL, is able to predict with 92% accuracy if a tumor sample will respond to a certain drug compound, allowing for a more informed selection of drug/tumor type combinations for subsequent in-vitro testing. Together with the company’s vast biobank of more than 150,000 assay-capable heterogenous human tumor samples, Predictive Oncology offers its academic and industry partners one of the industry’s broadest AI-based drug discovery solutions, further complimented by its wholly owned CLIA laboratory facility. Predictive Oncology is headquartered in Pittsburgh, PA.
Investor Relations Contact:
Mike Moyer
LifeSci Advisors, LLC
[email protected]
Forward-Looking Statements:
Certain matters discussed in this release contain forward-looking statements. These forward- looking statements reflect our current expectations and projections about future events and are subject to substantial risks, uncertainties and assumptions about our operations and the investments we make. All statements, other than statements of historical facts, included in this press release regarding our strategy, future operations, future financial position, future revenue and financial performance, projected costs, prospects, changes in management, plans and objectives of management are forward-looking statements. The words “anticipate,” “believe,” “estimate,” “expect,” “intend,” “may,” “plan,” “would,” “target” and similar expressions are intended to identify forward-looking statements, although not all forward-looking statements contain these identifying words. Our actual future performance may materially differ from that contemplated by the forward-looking statements as a result of a variety of factors including, among other things, factors discussed under the heading “Risk Factors” in our filings with the SEC. Except as expressly required by law, the company disclaims any intent or obligation to update these forward-looking statements.