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SAB Biotherapeutics Secures $175M Investment, Strengthening Financial Position and Advancing Type 1 Diabetes Treatment

SAB Biotherapeutics Secures $175M Investment, Strengthening Financial Position and Advancing Type 1 Diabetes Treatment

Analyst Emily Bodnar from H.C. Wainwright maintained a Buy rating on SAB Biotherapeutics and decreased the price target to $9.00 from $10.00.

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Emily Bodnar’s rating is based on the recent strategic developments and financial strengthening of SAB Biotherapeutics. The company announced a significant $175 million private placement, which included participation from strategic investor Sanofi, as well as several other notable investors. This financing not only extends SAB Biotherapeutics’ cash runway into 2028 but also removes previous financial overhangs, allowing the company to proceed with its Phase 2b SAFEGUARD trial for SAB-142 in treating Stage 3 Type 1 Diabetes.
Furthermore, the investment from Sanofi highlights a strong pharmaceutical interest in SAB-142, particularly given the high unmet need for new treatments in Type 1 Diabetes. Sanofi’s involvement suggests potential future collaborations or partnerships, leveraging its expertise in T1D therapies. The planned Phase 2b trial, which has been aligned with FDA expectations, is expected to commence in the third quarter of 2025, with results anticipated in the second half of 2027. These factors collectively underpin Bodnar’s Buy rating for SAB Biotherapeutics.

According to TipRanks, Bodnar is an analyst with an average return of -0.6% and a 31.67% success rate. Bodnar covers the Healthcare sector, focusing on stocks such as Agenus, Olema Pharmaceuticals, and NovoCure.

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