Pasithea Therapeutics Stock Jumps on Successful $60M Capital Injection

GasFeeCrybaby · 2025-12-26T04:28:47+00:00

Pasithea Therapeutics Corp. shares surged 38.68% to $1.47 after a $60 million equity financing deal. The funds will support the development of PAS-004 and strengthen the company's financial position through at least mid-2028, enhancing its operational flexibility and potential for shareholder value.

GasFeeCrybaby

2025-12-26 04:28:47

Abstract generation in progress

Pasithea Therapeutics Corp. (KTTA) experienced a significant market rally, climbing 38.68% to reach $1.47 per share following the unveiling of a substantial equity financing deal. The biotech firm successfully completed a $60 million public offering through the issuance of 80 million shares (or pre-funded warrant equivalents) at $0.75 each.

The capital injection delivers a meaningful boost to the company’s financial position. According to the announcement, Pasithea intends to channel the proceeds toward advancing its flagship drug candidate PAS-004 through clinical development stages, while simultaneously strengthening its operational cash position. Management indicated the funding extends the company’s financial runway into at least the first half of 2028, providing a critical runway for pipeline development and general corporate operations.

Market sentiment reflected the positive development, with trading activity spiking considerably as investors responded to the financing milestone and the strengthened balance sheet. The broader context suggests renewed momentum around the company’s therapeutic initiatives. Looking at the stock’s historical performance, the 52-week trading band spans from approximately $0.45 to $2.40, situating the current price within an encouraging range for recent participants.

This financing represents a pivotal moment for Pasithea’s pipeline progression, enabling the company to maintain operational flexibility while pursuing its clinical development objectives for PAS-004 and supporting corporate initiatives aimed at maximizing shareholder value.

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