aibioEntera Bio closes $275.0 million private placement at $2.04 a share
Tickers ENTX
BVF Partners-affiliated funds are among the buyers and gain the right to name two directors. Entera says it will use the money to support a Phase 3 study of EB613.
Key facts
- Company
- Entera Bio Ltd. (NASDAQ: ENTX)
- News type
- Financings
- Primary source
- Entera Bio Ltd. 8-K (2026-07-28)
The placement
Entera Bio Ltd. (Nasdaq: ENTX) signed a Securities Purchase Agreement on July 26, 2026 with institutional and accredited investors, including funds affiliated with BVF Partners L.P. The 8-K reports that the placement closed on July 28, 2026. The agreement covers 134,803,910 ordinary shares, par value NIS 0.0000769, or pre-funded warrants in their place, for aggregate proceeds of approximately $275.0 million at $2.04 per ordinary share. The company says the transaction was priced at the market under Nasdaq rules.
At closing the company issued 122,961,215 ordinary shares and 11,842,695 pre-funded warrants, because some buyers chose warrants in place of shares. Each pre-funded warrant has an exercise price of NIS 0.0000769 per share, is immediately exercisable and has no expiration date. A holder may not exercise a warrant if that would take its ownership above 4.99% or 9.99%, at the holder's option. Warrants may be exercised on a cashless basis while no resale registration statement is effective.
The securities were sold in reliance on the Section 4(a)(2) exemption from registration. Under a Registration Rights Agreement dated July 28, 2026, the company agreed to file a resale registration statement within 30 days of closing and to use reasonable best efforts to have it declared effective as promptly as possible.
Who placed it and what BVF gets
Leerink Partners acted as lead placement agent. Evercore ISI, Guggenheim Securities, Cantor Fitzgerald, LifeSci Capital and Canaccord Genuity acted as co-placement agents. The 8-K does not state the amount of the cash placement fee, which it calls customary, and it names no counsel.
The company agreed to give BVF the right to designate two directors, effective at closing. If BVF ceases to own at least 75.0% of the securities it bought in the placement, the right drops to one designee. If that falls below 50.0%, or if BVF's stake falls below 10.0% of the company's issued and outstanding ordinary shares, the right ends. The company also agreed to use commercially reasonable efforts to appoint or put forward two additional independent directors, anticipated at or before its 2027 annual general meeting and no later than 18 months after closing. Directors Haya Taitel and Yonatan Malca told the board they will resign or not stand for reelection when a replacement is appointed. The 8-K says their decisions did not result from any disagreement with the company.
The program the money is for
The company says it will use the net proceeds to support the start of a Phase 3 registrational study of EB613 in postmenopausal women with osteoporosis, and for working capital and general corporate purposes. The 8-K gives no budget for the Phase 3 study, no start date and no planned enrollment.
The annual report for 2025, filed on March 27, 2026, describes EB613 as an oral PTH (1-34) tablet. It says a six-month, placebo-controlled study of 161 patients met its biomarker and bone mineral density endpoints without significant safety concerns in postmenopausal women with osteoporosis. Those results come from one Phase 2 study, and a Phase 3 study would be the next test.
The money behind it
The annual report gives cash used in operations of $7.4 million for 2025, against $6.8 million for 2024. It also gives a net loss of $11.4 million for 2025, against $9.5 million for 2024, on revenue of $42,000 and research and development expense of $6.0 million. Year-end cash and cash equivalents for 2024 were $8.7 million. Those figures are small next to the $275.0 million raised. The 8-K does not tie the proceeds to a specific budget, so the size of the raise against the cost of the study cannot be measured from this filing.
The placement also changes the shareholder base. BVF gains board seats, and the pre-funded warrants let some buyers hold a position without holding shares at closing.
What comes next
Each buyer agreed to vote for proposals to increase the shares available under the 2018 Equity Incentive Plan and to approve equity grants to executive officers intended to restore their ownership percentages from before the placement. The company expects to seek shareholder approval at a special meeting anticipated in the fourth quarter of 2026. The 8-K does not describe a lock-up, and it does not date the Phase 3 start.