CASI Pharmaceuticals, Inc. closed a $20 million convertible note financing on April 20 2026 with ETP Global III Fund LP, a partnership controlled by the company’s chairman, Dr. Wei‑Wu He. The deal represents the latest infusion of working capital for a company that has been operating with a severely limited cash balance and a high burn rate.
The financing follows CASI’s divestiture of its China hematology‑oncology business to Kaixin Pharmaceuticals for $20 million, announced on May 12 2025. The sale was intended to streamline the company’s focus on its sole remaining asset, CID‑103, and to reduce debt exposure, but it also removed a revenue‑generating segment that had helped support the company’s cash runway.
CID‑103, an anti‑CD38 monoclonal antibody, is in Phase 1 clinical development for organ transplant rejection and autoimmune diseases. The company has received FDA IND clearance for a renal allograft antibody‑mediated rejection study and has secured approval from China’s NMPA for a Phase 1/2 study of the same indication. Positive early data in immune thrombocytopenia, with a 73 % efficacy rate in a small cohort, have bolstered confidence in the program’s potential.
CASI’s liquidity challenges are underscored by a Nasdaq Hearings Panel delisting decision issued on February 25 2026, after the company failed to meet the exchange’s minimum bid price and shareholder equity requirements. On April 21 2026, the company disclosed a delay in filing its 2025 Form 20‑F, acknowledging substantial doubt about its ability to continue as a going concern. The new financing is therefore a short‑term bridge that may delay, but does not eliminate, the risk of delisting or insolvency.
The convertible nature of the notes introduces potential dilution if the company exercises conversion rights, and the close relationship between the investor and the chairman raises questions about the breadth of external capital support. While the infusion provides immediate working capital, the company’s ongoing need for additional funding, coupled with its regulatory and listing challenges, suggests that the financing is a temporary measure rather than a long‑term solution. Investors and stakeholders will likely view the deal as a sign of the company’s urgent liquidity needs and the limited options available to secure additional capital outside of insider‑controlled sources.
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