initial public offerings (IPOs) trading on American exchanges

Wednesday, September 13, 2023

==Calidi Biotherapeutics (CLDI) began trading on the NYSE on Wed 13 Sep 23

  • Calidi Biotherapeutics, a San Diego-based biotech company, has gone public through a special purpose acquisition company (SPAC). The company has secured nearly $70 million in funding to develop its allogeneic stem cell therapies through 2025. Calidi is merging with First Light Acquisition Group (FLAG).

The stock was dropped 46% to $4.35 in early trading on Wednesday. The shares fell as much as 50% to a low of $4 when the market opened.

Calidi's trading debut followed the completion of its merger with the blank-check company First Light Acquisition.

The business combination made about $28 million in gross proceeds available to the clinical-stage biotechnology company, consisting of $25 million in a private capital raise, cash proceeds of about $1 million from First Light's trust account and about $2 million in private investments and non-redemption agreements.

Transaction expenses and debt repayments are estimated to be about $13 million, along with a $5 million working capital adjustment for expenses incurred prior to closing. The funds should be enough to sustain operations into 2025, Calidi said.

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