HCW Biologics Inc. (NASDAQ: HCWB) closed a first‑round financing with WY Biotech Co., Ltd. on February 13, 2026, and announced the transaction on February 14, 2026. The deal provides HCW Biologics with a $7 million cash fee, split evenly between a $3.5 million upfront license fee and a $3.5 million minority equity stake in the newly formed Beijing Trimmune Biotech Co., Ltd. The joint venture will hold exclusive worldwide rights for in‑vivo applications of HCW Biologics’ TRBC platform molecule HCW11‑006 and will be responsible for its development and commercialization.
The joint‑venture structure gives HCW Biologics a direct financial stake while transferring the cost of the initial Phase 1 clinical trial to Trimmune. Trimmune will also receive an option to license HCW9302, another HCW Biologics candidate, for Greater China rights, and HCW Biologics retains an option to reclaim rights in the Americas after the Phase 1 study in China. The venture is backed by CITIC Medical Fund and TigerYeah Capital Fund of TigerMed, providing a strong financial foundation for the project.
The financing is a critical step for HCW Biologics, which has faced significant financial headwinds. In the first nine months of 2025 the company reported a net loss of $8.7 million on revenues of $27,222, a sharp decline from the prior year driven by the suspension of a key licensing agreement. Q2 2025 revenue fell to $6,550 from $618,854 in Q2 2024, underscoring the company’s liquidity pressures and the risk of non‑compliance with Nasdaq’s minimum equity requirements. The $7 million infusion provides immediate capital and offloads the Phase 1 development cost, improving cash flow and addressing the company’s going‑concern concerns.
Trimmune is expected to initiate a Phase 1 study of HCW11‑006 in solid tumors in China during the first half of 2027. The partnership leverages Chinese venture backing and CRO infrastructure to accelerate early clinical execution in a capital‑efficient cross‑border model. By securing a minority equity stake, HCW Biologics gains a share of future commercial success while preserving its ability to pursue additional development opportunities in other regions.
The deal represents both a strategic and financial milestone for HCW Biologics. It advances the company’s flagship TRBC platform into clinical development, while simultaneously providing a much‑needed liquidity boost and a pathway to mitigate its current financial vulnerabilities.
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