Galera Therapeutics, Inc. Announces Major Preferred Stock Conversion and Warrant Exercises

Malvern, PA — April 9, 2026: Galera Therapeutics, Inc. (OTCQB: GRTX), a pharmaceutical company, has announced a significant series of corporate actions that may have a substantial impact on its capital structure and could influence future share price performance. These key developments include the conversion of a large block of preferred stock into common shares and the exercise of a sizable portion of pre-funded warrants.

Key Highlights from the 8-K Filing

• Conversion of Series B Preferred Stock:
  • On April 7, 2026, Galera Therapeutics converted 76,479.175 shares of its Series B Non-Voting Convertible Preferred Stock (par value \$0.001 per share) into 76,479,164 shares of common stock (par value \$0.001 per share).
  • This conversion was carried out in accordance with the Certificate of Designation of Preferences, Rights and Limitations of the Series B Preferred Stock, as amended.
  • No fractional shares were issued. Instead, holders will receive a cash payment equivalent to the trading value of any fractional shares as of the close of business on the conversion date.
  • Following the conversion, 42,839.11 shares of Series B Preferred Stock remain outstanding.
• Exercise of Pre-Funded Warrants:
  • On April 8, 2026, certain affiliates of Ikarian Capital, LLC exercised a portion of their pre-funded warrants, purchasing an aggregate of 8,488,229 shares of common stock at an exercise price of \$0.001 per share.
  • The total exercise price paid to the company was approximately \$8,488.23.
  • After this transaction, pre-funded warrants to purchase another 14,552,811 shares of common stock remain outstanding.

Details Shareholders Must Know

• Potential Share Price Impact: The conversion and warrant exercises result in a considerable increase in the number of outstanding common shares. This may have a dilutive effect on existing shareholders, which is an important factor that could impact the share price.
• Strategic Implications: The conversion and warrant exercise may strengthen the company’s equity base, potentially improving its financial flexibility and ability to attract future investors, although it does also mean greater dilution for current holders.
• Cash Payments for Fractional Shares: Holders of Series B Preferred Stock who were due fractional common shares as a result of the conversion will be compensated in cash, ensuring all holders receive fair value.
• Remaining Warrants and Preferred Stock: There is still a material amount of Series B Preferred Stock and pre-funded warrants outstanding, which could lead to further dilution in the future if converted/exercised.

Security and Exchange Information

• Common Stock Trading Symbol: GRTX
• Exchange: OTCQB Market
• SEC File Number: 001-39114
• Company Address: 101 Lindenwood Drive, Suite 225, Malvern, PA 19355
• Phone: (610) 725-1500

Why This Matters for Investors

• Share Dilution: The conversion of preferred stock and exercise of warrants will substantially increase the company’s outstanding common shares. This is typically perceived as dilutive and can pressure the share price.
• Capital Structure Change: With a lower preferred stock overhang and high warrant exercise, the company’s capital structure is shifting toward more common equity, which may also improve liquidity for investors and alter voting dynamics.
• Liquidity Event: Large holders converting their preferred shares and exercising warrants could signal confidence in the company’s future or be part of a planned exit/liquidity event for early investors, which may influence market perception.

Management Sign-Off

The report was signed by J. Mel Sorensen, M.D., President and Chief Executive Officer, on April 9, 2026.

Disclaimer: This article is for informational purposes only and does not constitute investment advice. Investors should review the official SEC filings and consult their financial advisor before making any investment decisions. The information above is based on the company’s Form 8-K filed April 9, 2026, and may be subject to change.

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