Benzinga | May 25, 2021 08:48AM EDT

Pluristem Stock is Trading Higher After 20M Non-Dilutive Funding from European Investment Bank

* Pluristem Therapeutics Inc (NASDAQ: PSTI) has received (euro)20 million (approximately $24 million) from the European Investment Bank (EIB), the first disbursement of three tranches of funding.

* The disbursement reflects that Pluristem has achieved a key milestone in a previously announced (euro)50 million non-dilutive financing agreement.

* Under the EIB agreement, Pluristem expects to receive the first tranche of funds during June 2021.

* The proceeds of the first tranche will support R&D in Europe to advance Pluristem's proprietary regenerative cell therapy platform.

* The first tranche of (euro)20 million will be unsecured and payable to the EIB in a single payment five years after the disbursement, with an interest rate of 4%.

* Following the receipt of the (euro)20 million tranche, Pluristem will have a cash balance of more than $90 million.

* Price Action: PSTI shares are up 6.58% at $4.05 during the premarket session on the last check Tuesday.