NeOnc Technologies Redeems Preferred Stock to Simplify Capital Structure

DENVER, Sept. 17, 2026 /CourierPR/ -- NeOnc Technologies, a clinical-stage biotech firm, has taken a significant step to simplify its capital structure and eliminate potential dilution risks. The company redeemed all 6,000 outstanding shares of its Series A Convertible Preferred Stock for $6 million in cash, ensuring no common shares were issued in the process.

This move comes on the heels of a $15 million registered direct offering, which NeOnc announced just days prior. The dual actions underscore NeOnc’s strategic focus on advancing its drug pipeline while maintaining shareholder value.

According to Amir F. Heshmatpour, CEO and Executive Chairman of NeOnc Technologies, the company made a deliberate decision to redeem the Series A Preferred Stock in cash.

The preferred stock, issued in June for $5 million, carried a four-month cash-redemption window. If NeOnc had not redeemed the shares, the stated value would have increased, potentially allowing holders to convert into common stock at 80% of the lowest closing price during the preceding five trading days, subject to a $1 floor. By redeeming the shares, NeOnc effectively eliminated this potential for discounted-share conversion.

NeOnc is currently advancing its clinical programs. NEO100 recently delivered topline Phase 2a results in recurrent IDH1-mutant high-grade glioma, with six-month progression-free survival at 48.9% and median overall survival at 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, marking an expansion of the company’s international development pathway.

The capital-structure move is part of NeOnc’s broader strategy to support its drug pipeline as it moves toward increasingly important clinical and regulatory milestones. By eliminating the potential for dilution, the company aims to provide a clearer path for investors focused on its advancing oncology programs.

In summary, NeOnc Technologies has taken decisive action to simplify its capital structure and eliminate potential dilution risks, while continuing to advance its clinical programs. This move is seen as a strategic step to support the company’s ongoing efforts to bring innovative treatments to patients.