DENVER, Sept. 17, 2026 (GLOBE NEWSWIRE) -- (247marketnews.com) -- NeOnc Technologies (NASDAQ: NTHI) just removed a potentially significant overhang from its capital structure, redeeming all 6,000 outstanding shares of Series A Convertible Preferred Stock for $6 million in cash, with zero common shares issued in the process.
The move comes only days after NeOnc announced a $15 million registered direct offering, creating a notable one-two punch: fresh capital for the clinical-stage biotech while simultaneously eliminating a preferred security that could have converted into common stock at a substantial discount. The company said the financing was specifically structured to support the redemption.
“We made a deliberate decision to redeem the Series A Preferred Stock in cash and eliminate the potential dilution these securities represented for our shareholders,” CEO and Executive Chairman Amir F. Heshmatpour said.
The timing is particularly notable because the preferred stock's conversion terms could have become more consequential. Issued in June for $5 million in gross proceeds, the Series A shares carried a four-month cash-redemption window. Had NeOnc not redeemed them, the stated value would have increased and holders could have elected to convert into common stock at 80% of the lowest closing price during the preceding five trading days, subject to a $1 floor.
Instead, NeOnc has effectively shut that door.
The company isn't making the capital-structure cleanup in isolation. NeOnc is entering the next phase of its CNS cancer story with two clinical programs moving forward. NEO100 recently delivered topline Phase 2a results in recurrent IDH1-mutant high-grade glioma, with the company reporting six-month progression-free survival of 48.9% versus a prespecified 20% benchmark and median overall survival of 26.09 months.
Meanwhile, NEO212 has completed Phase 1 dose escalation, established a recommended Phase 2 dose of 610 mg, and received UAE IND authorization as NeOnc expands its international development pathway.
That puts the latest preferred-stock redemption into a larger narrative: NeOnc is attempting to simplify its capitalization while pushing its drug pipeline toward increasingly important clinical and regulatory milestones.
“We are focused on translating clinical progress into lasting value for patients and shareholders,” Heshmatpour said.
NEO100 and NEO212 remain investigational programs, but the capital-structure move is clear: NeOnc chose to eliminate a potential source of discounted-share conversion before it became available.
For investors watching NeOnc, the story is therefore shifting from simply raising money to how efficiently that capital can be deployed against an advancing CNS oncology pipeline, with one potentially dilutive security now off the table.
About 24/7 Market News
In today's fast-moving markets, visibility is everything and 24/7 Market News (24/7) provides a powerful suite of investor relations and public relations solutions designed to elevate your company’s profile quickly and effectively. Whether you're an established name seeking broader awareness, or a micro-cap looking to break out of obscurity, 24/7 delivers targeted, high-impact coverage through timely news distribution, analyst report placements, featured editorials, and multi-channel amplification across financial platforms, social media, and investor communities. Our services help cut through the noise, attract institutional interest, drive exposure, and build long-term shareholder credibility, all while maintaining full SEC compliance and transparency. For Analyst Report coverage, custom IR campaigns, press release syndication, or other tailored investor and public relations solutions, contact [email protected] to discuss how 24/7 can help accelerate your company’s visibility and valuation trajectory.
This is a paid editorial communication intended for informational purposes only. 24/7 is compensated by NTHI to provide ongoing news coverage of expected upcoming catalysts and events as well as market outreach services. For further disclosure information, please click here. This should not be construed as financial or investment advice. Trading involves substantial risk; consult your financial advisor.
Important Editorial Note: 247 highlights companies approaching significant catalysts and inflection points. This report reflects information available at the time of publication. Since developments can occur rapidly, readers should independently verify current information and review all company filings and disclosures.
CONTACT:
24/7 Market News
[email protected]
Cautionary Note Regarding Forward-Looking Statements
This press release contains forward-looking statements that are subject to various risks and uncertainties. Such statements include statements regarding the Company's ability to grow its business and other statements that are not historical facts, including statements which may be accompanied by the words "intends," "may," "will," "plans," "expects," "anticipates," "projects," "predicts," "estimates," "aims," "believes," "hopes," "potential" or similar words. Actual results could differ materially from those described in these forward-looking statements due to a number of factors, including without limitation, the Company's ability to continue as a going concern, general economic conditions, and other risk factors detailed in the Company's filings with the SEC. The forward-looking statements contained in this press release are made as of the date of this press release, and the Company does not undertake any responsibility to update such forward-looking statements except in accordance with applicable law.