On March 6, 2026 Allarity Therapeutics, Inc. ("Allarity" or the "Company") (NASDAQ: ALLR), a Phase 2 clinical-stage pharmaceutical company dedicated to developing stenoparib (2X-121)—a differentiated, dual PARP and WNT pathway inhibitor, reported that it has closed a $20 million non-convertible debt financing with Streeterville Capital.
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The transaction is structured as a note purchase agreement pursuant to which the Company issued two non-convertible promissory notes: (i) a promissory note in the original principal amount of $10,930,000 and (ii) a secured promissory note in the original principal amount of $10,000,000, together providing approximately $20 million in net proceeds to the Company.
The financing is expected to extend the Company’s cash runway into the summer of 2028. The Company intends to use the proceeds primarily to support key initiatives designed to accelerate the advance of stenoparib toward pivotal development, FDA approval and commercialization.
Additional information regarding the transaction is included in the Company’s Form 8-K filed with the Securities and Exchange Commission on March 6, 2026.
"This financing demonstrates the confidence which Streeterville has in Allarity and the capital received positions us to complete Phase 2 enrollment, prepare for our FDA meeting, advance our companion diagnostic strategy, and prepare for pivotal development of stenoparib in advanced ovarian cancer," said Thomas Jensen, Chief Executive Officer of Allarity Therapeutics. "The financing also supports broader strategic initiatives, including further advancement of our DRP companion diagnostic platform and potential exploratory development in additional WNT-driven tumor types. We view stenoparib as a novel, highly differentiated therapeutic candidate, and this non-convertible financing provides the resources necessary to propel its continued advancement, while reflecting confidence in the strength of our clinical progress and regulatory strategy."
Stenoparib has demonstrated durable clinical benefit in heavily pre-treated ovarian cancer patients, including previously reported extended overall survival. Notably, certain patients have remained on therapy for more than 30 months, highlighting the long-term therapeutic potential of stenoparib in this population. The open-label Phase 2 trial will generate the critical clinical data to inform future regulatory engagement and pivotal trial development.
About Stenoparib/2X-121
Stenoparib is an orally available, small-molecule dual-targeted inhibitor of PARP1/2 and tankyrase 1/2. At present, tankyrases are attracting significant attention as emerging therapeutic targets for cancer, principally due to their role in regulating the WNT signaling pathway. Aberrant WNT/β-catenin signaling has been implicated in the development and progression of numerous cancers. By inhibiting PARP and blocking WNT pathway activation, stenoparib’s unique therapeutic action shows potential as a promising therapeutic for many cancer types, including ovarian cancer, Small Cell Lung Cancer and colorectal cancer. Allarity has secured exclusive global rights for the development and commercialization of stenoparib, which was originally developed by Eisai Co. Ltd. and was formerly known under the names E7449 and 2X-121. Allarity has two ongoing Phase 2 trial protocols for stenoparib in Ovarian Cancer patients. In the first, patients who had had 2+ lines of therapy were enrolled on stenoparib and given drug twice daily. This protocol has been closed to further enrollment but continues for the enrolled patients who are still receiving benefit from stenoparib administration. The updated data from this study were presented at this AACR (Free AACR Whitepaper) special conference on advances in Ovarian Cancer. Note that, as these data are from an ongoing trial, analyses may change as the study fully matures. An amended protocol designed expressly to capitalize on the emerging clinical experience with stenoparib in platinum resistant patients began enrolling patients this summer. This amended protocol enrolls only platinum resistant or platinum-ineligible patients and is designed to accelerate the clinical development of stenoparib toward FDA approval.
About the Drug Response Predictor – DRP Companion Diagnostic
Allarity uses its drug-specific DRP to select those patients who, by the gene expression signature of their cancer, may have a high likelihood of benefiting from a specific drug. By screening patients before treatment, and only treating those patients with a sufficiently high, drug-specific DRP score, the therapeutic benefit rate may be enhanced. The DRP method builds on the comparison of sensitive vs. resistant human cancer cell lines, including transcriptomic information from cell lines, combined with clinical tumor biology filters and prior clinical trial outcomes. DRP is based on messenger RNA expression profiles from patient biopsies. The DRP platform has shown an ability to provide a statistically significant prediction of the clinical outcome from drug treatment in cancer patients across dozens of clinical studies (both retrospective and prospective). The DRP platform, which may be useful in all cancer types and is patented for dozens of anti-cancer drugs, has been extensively published in the peer-reviewed literature.
(Press release, Allarity Therapeutics, MAR 6, 2026, View Source [SID1234663337])