Citius Pharmaceuticals Inc. (CTXR) has completed a registered direct offering of 5,076,143 shares of common stock, or pre‑funded warrants, at a purchase price of $0.985 per share. The offering is priced at‑market under Nasdaq rules and is expected to close on or about April 24, 2026. A concurrent private placement of unregistered warrants to purchase up to 5,076,143 shares at $0.86 per share accompanies the offering.
The gross proceeds from the offering are projected to be approximately $5 million, before deducting placement agent fees and other offering expenses. Management said the net proceeds will be used to support the commercial launch of LYMPHIR, cover milestone and regulatory payments, fund development initiatives for all product candidates, and meet general corporate purposes.
Citius’ cash reserves were reported at $7.7 million at the end of the quarter ended December 31 2025, with a net loss of $9.4 million and an operating cash outflow of $13.0 million. Research and development expenses were $1.6 million and general and administrative expenses were $5.7 million, underscoring the company’s high burn rate and the urgency of the capital raise.
LYMPHIR, the company’s first commercial product, generated $3.9 million in net revenue in the quarter ended December 31 2025, the first quarter after its December 2025 launch. The early sales momentum, combined with a growing payer coverage base, supports the company’s confidence in the product’s commercial trajectory.
In February 2026, Citius received a Nasdaq notice for failing to meet the minimum bid price requirement, and the company has disclosed substantial doubt about its ability to continue as a going concern without additional capital. The registered direct offering is therefore a critical liquidity event intended to extend the company’s runway beyond the May 2026 cash‑runway warning.
Leonard Mazur, Chairman and CEO of Citius Oncology and Citius Pharma, said, 'We are encouraged by the early commercial indicators for LYMPHIR, including the pace of formulary adoption, breadth of payer coverage, and increasing repeat orders from leading oncology centers.'
Analysts have projected that Citius will post earnings per share of $1.62 for fiscal 2026, reflecting expectations that the company will become profitable as LYMPHIR sales grow and cash burn slows. Investors have reacted negatively to the financing, citing dilution concerns and the company’s ongoing cash‑runway challenges.
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