Eledon Pharmaceuticals, Inc. announced that it has entered into a Securities Purchase Agreement with certain institutional and accredited investors to issue 13,110,484 shares of the common stock, $0.001 par value per share at a price of $2.37 per share for the gross proceeds of $31,071,847.08 and 7,989,516 pre-funded warrants at a price of $2.369 per warrant for the gross proceeds of $18,927,163.404; for total gross proceeds of $49,999,010.484 on May 6, 2024. The warrants are exercisable to purchase 7,989,516 shares of Common Stock at an exercise price of $0.001 per share. The Pre-Funded Warrants were issued in lieu of shares of Common Stock and are exercisable immediately and until exercised in full.

The closing of the Private Placement is expected to occur the week of May 6, 2024. The Shares, the Pre-Funded Warrants, and the shares of Common Stock issuable upon the exercise of the Pre-Funded Warrants, have not been registered under the Securities Act of 1933, as amended, and were offered pursuant to the exemption from registration provided in Section 4(a)(2) under the Securities Act of 1933, as amended, and Rule 506(b) promulgated thereunder.