--- title: "Rani Therapeutics cuts warrant exercise price to $0.65 for about $4.3 million" url: "https://aibio.space/news/rani-therapeutics-cuts-warrant-exercise-price-0-65-about-4-3-million/" publisher: "aibio.space (Biotech Investor Relations News)" date: "2025-05-20" section: "Financings" tickers: "NASDAQ:RANI" source: "https://www.sec.gov/Archives/edgar/data/1856725/000119312525122872/d945177d8k.htm" summary: "Rani Therapeutics cut the exercise price of two outstanding warrants from $3.08 and $3.00 to $0.65 so an existing institutional investor would exercise the" --- By the aibio.space news desk. Sources - [Rani Therapeutics Holdings, Inc. Form 8-K filed May 20, 2025 (SEC EDGAR)](https://www.sec.gov/Archives/edgar/data/1856725/000119312525122872/d945177d8k.htm) - [Rani Therapeutics Holdings, Inc. exhibit d945177dex101.htm to the May 20, 2025 Form 8-K (SEC EDGAR)](https://www.sec.gov/Archives/edgar/data/1856725/000119312525122872/d945177dex101.htm) - [Rani Therapeutics Holdings, Inc. exhibit d945177dex102.htm to the May 20, 2025 Form 8-K (SEC EDGAR)](https://www.sec.gov/Archives/edgar/data/1856725/000119312525122872/d945177dex102.htm) - [Rani Therapeutics Holdings, Inc. Form 10-K filed March 31, 2025: business overview and signatures (SEC EDGAR)](https://www.sec.gov/Archives/edgar/data/1856725/000095017025047740/rani-20241231.htm) [RANI](https://aibio.space/companies/rani-therapeutics/) 2025-05-20 # Rani Therapeutics cuts warrant exercise price to $0.65 for about $4.3 million in gross proceeds Tickers [RANI](https://aibio.space/companies/rani-therapeutics/) Rani Therapeutics cut the exercise price of two outstanding warrants from $3.08 and $3.00 to $0.65 so an existing institutional investor would exercise them, for gross proceeds of about $4.3 million before advisory fees. The investor also receives a new Series D warrant for up to 13,160,172 shares. ## Key facts - **Company**: Rani Therapeutics Holdings, Inc. (NASDAQ: RANI) - **News type**: Financings - **Primary source**: [Rani Therapeutics Holdings, Inc. Form 8-K filed May 20, 2025 (SEC EDGAR)](https://www.sec.gov/Archives/edgar/data/1856725/000119312525122872/d945177d8k.htm) *A city skyline seen across a river. Photo: Matt Bango, CC0, via StockSnap. The picture shows the field, not the companies named.* Rani Therapeutics Holdings, Inc. (Nasdaq: [RANI](https://aibio.space/companies/rani-therapeutics/)) agreed on May 20, 2025 to lower the exercise price of two outstanding warrants to $0.65 per share. An existing institutional investor agreed to exercise both in full. The company said in a [Form 8-K](https://www.sec.gov/Archives/edgar/data/1856725/000119312525122872/d945177d8k.htm) that gross proceeds would be about $4.3 million, before financial advisory fees and estimated expenses, with closing expected on May 21, 2025. ## The repricing The terms are in a letter agreement, filed as Exhibit 10.1. The first warrant is a Series B warrant for 3,246,753 shares, issued to the investor in July 2024, and its price falls from $3.08 to $0.65 per share. The second is a Series C warrant for 3,333,333 shares, issued in October 2024, and its price falls from $3.00 to $0.65. The investor agreed to exercise both in full. Until this letter the two warrants carried exercise prices of $3.08 and $3.00. The company is accepting a steep cut to bring in cash now. The 8-K says the Series B and Series C warrants and their shares were registered earlier on a Form S-3, so the exercise shares are not new registrations. ## The Series D warrant In return, Rani agreed to issue a Series D warrant for 200% of the shares issued on exercise of the existing warrants. That is 13,160,172 shares of Class A common stock at $0.65 per share. The warrant expires five years after stockholder approval. Nasdaq rules require that approval for the shares underlying it, and the warrant cannot be exercised until the company gets it. The warrant limits the investor's ownership to 9.99% of the common stock after exercise. Rani agreed to file a resale registration statement for the Series D shares within 45 days of the letter agreement, and to use its best efforts to have it declared effective by the date of the stockholder approval. The Series D warrant was issued to one accredited investor in a private placement under Section 4(a)(2) of the Securities Act and Rule 506 of Regulation D. It has not been registered. The new warrant therefore gives the investor twice as many shares as it is exercising now, at a price that is still well below the company's earlier warrant prices. ## Who gets paid Maxim Group LLC acted as financial advisor to the company under an engagement letter dated May 19, 2025. Rani agreed to pay Maxim a cash fee of 5.25% of the gross proceeds from the exercise of the Series B and Series C warrants. The 8-K names no placement agent and no counsel for the company or the investor. Rani says it intends to use the net proceeds to buy newly issued LLC interests from Rani LLC. Rani LLC would then use the money for working capital and other general corporate purposes. ## The cash position The annual report on [Form 10-K](https://www.sec.gov/Archives/edgar/data/1856725/000095017025047740/rani-20241231.htm), filed March 31, 2025, reports cash, cash equivalents and marketable securities of $27.6 million at December 31, 2024. That compares with $48.5 million a year earlier. The company used $35.5 million in operating activities in 2024. The auditor's report, as described in the 10-K, carries substantial doubt about the company's ability to continue as a going concern for one year after the date of the financial statements. The company also has term loans under a loan agreement it entered into in August 2022, for up to $45.0 million in aggregate. Set against those figures, the $4.3 million gross from this deal is small. The Series D warrant adds a further claim on the stock, and it cannot be exercised until stockholders approve the shares. ## The business Rani describes itself in the 10-K as a clinical-stage biotherapeutics company working on technologies that let biologics and drugs be taken orally instead of by injection. Its platform is the RaniPill capsule, in two configurations, the RaniPill GO and the RaniPill HC. The company says it has completed three Phase 1 clinical trials with the RaniPill GO and planned to begin clinical testing of the RaniPill HC in mid-2025. These are company statements. The 8-K reports no clinical results. ## Who signed Chief Financial Officer Svai Sanford signed the 8-K for the company. [Report an error](https://aibio.space/reputation/#correction) ## Companies in this story RANI Rani Therapeutics Holdings, Inc. NASDAQ ยท United States Open the starter desk ## More in Financings Financings ### [INmune Bio raises $4.50 million in registered direct offering with warrants](https://aibio.space/news/inmune-bio-raises-4-50-million-registered-direct-offering-warrants/) Oct 29, 2026 Financings ### [Lexeo Therapeutics files $300 million shelf registration](https://aibio.space/news/lexeo-therapeutics-files-300-million-shelf-registration/) Oct 29, 2026 Financings ### [ProKidney files $650 million shelf with $200 million Jefferies sales program](https://aibio.space/news/prokidney-files-650-million-shelf-200-million-jefferies-sales-program/) Oct 29, 2026 --- Source page: https://aibio.space/news/rani-therapeutics-cuts-warrant-exercise-price-0-65-about-4-3-million/. Facts in aibio.space stories are checked against company filings and releases; opinion is labelled. Cite as: aibio.space, "Rani Therapeutics cuts warrant exercise price to $0.65 for about $4.3 million", 2025-05-20, https://aibio.space/news/rani-therapeutics-cuts-warrant-exercise-price-0-65-about-4-3-million/