aibioContineum Therapeutics amends share sales deal, registers up to $100 million
Tickers CTNM
Contineum can now sell up to $100 million of Class A stock through Leerink Partners LLC, and its dilution example shows $7.18 a share lost at a $15.34 price. The company has also deferred two programs until it obtains funding.
Key facts
- Company
- Contineum Therapeutics, Inc. (NASDAQ: CTNM)
- News type
- Financings
- Primary source
- Contineum Therapeutics, Inc. 424B5 (2026-03-05)
Contineum Therapeutics, Inc. (Nasdaq: CTNM) filed a prospectus supplement dated March 5, 2026 for up to $100,000,000 of Class A common stock. The shares are sold at the market through Leerink Partners LLC as sales agent. The supplement amends a Sales Agreement dated May 14, 2025, and it supersedes the prospectus supplement dated May 23, 2025 in its entirety. No further shares will be sold under the earlier supplement.
The sales terms and the people behind them
The $100 million is in addition to the shares already sold. As of March 5, 2026, Contineum had sold 3,241,110 shares under the agreement for gross proceeds of approximately $19.6 million. Leerink Partners is not required to sell any specific number or dollar amount of stock, and it will use commercially reasonable efforts. The prospectus says there is no escrow or trust arrangement for the funds. Leerink Partners receives a commission of up to 3.0% of the gross sales price of each share sold.
The prospectus says Leerink Partners will be treated as an underwriter under the Securities Act, and that its compensation will be treated as underwriting commissions or discounts. Contineum has agreed to indemnify Leerink Partners against certain liabilities, including liabilities under the Securities Act. The prospectus names no other bank or placement agent for this program. Gunderson Dettmer Stough Villeneuve Franklin & Hachigian, LLP of San Diego, California, will pass on the validity of the shares for Contineum. Cooley LLP of New York, New York, represents Leerink Partners. Ernst & Young LLP audits the financial statements.
Dilution at the stated price
The prospectus gives a dilution example based on the stock price of $15.34 per share, the last reported sale price on March 2, 2026. It assumes 6,518,904 Class A shares sold at that price for aggregate gross proceeds of about $100 million. On that assumption, it says new buyers would face immediate dilution of $7.18 per share, against an as adjusted net tangible book value of $8.16 per share.
The pipeline the money is meant for
Contineum's 2025 annual report, filed March 5, 2026, calls it a clinical-stage biopharmaceutical company with two lead candidates. The wholly owned lead, PIPE-791, is an oral LPA1R antagonist in development for idiopathic pulmonary fibrosis and chronic pain. A Phase 2 trial in IPF began in December 2025. The company reported positive top-line data from a Phase 1b PET study in September 2025, but that study measured receptor occupancy by imaging, not patient outcomes. Top-line data from a chronic pain trial are expected in the second quarter of 2026. The report says three FDA-approved treatments already exist for IPF, and that they have been limited by tolerability and compliance.
The second candidate, PIPE-307, is developed with J&J, which has sole discretion over further development. Its Phase 2 VISTA trial in relapse-remitting multiple sclerosis did not meet its prespecified primary and secondary efficacy endpoints, although the company says the trial showed acceptable safety and tolerability at both doses. A Phase 2 trial in major depressive disorder, the Moonlight-1 study, began recruiting an estimated 124 adults in December 2024.
The report also says the company has deferred further development of PIPE-791 in progressive multiple sclerosis, and the start of the CTX-343 program, until funding is obtained to move them forward.
The money
Contineum reported a net loss of $60.0 million for 2025, up from $42.3 million in 2024. Research and development expense rose to $51.5 million from $38.4 million. Cash used in operations was $55.3 million in 2025, against $32.8 million in 2024. At the end of 2024, the company held $21.9 million in cash and cash equivalents and $182.8 million in short-term investments. The prospectus gives no cash balance for the end of 2025.
The company says it intends to use the net proceeds from this program to advance PIPE-791, to fund other research and development and for general corporate purposes. It may also acquire products or technologies, though it has no binding acquisition commitments. The stock is listed on the Nasdaq Global Select Market.