eXoZymes Inc. has secured a $2,028,518 Phase IIB Small Business Innovation Research (SBIR) grant from the National Institutes of Health (NIH) to advance its work on cannabinoid analogs for drug discovery. The award, titled SimplePath IIB: Pre-clinical Development of Cannabinoid Analogs, validates the company's ability to produce rare cannabinoids and new cannabinoid-like molecules, expanding its portfolio of proprietary new-to-nature molecules and potential future pharmaceutical assets. The total non-dilutive funding awarded to eXoZymes and its predecessor programs now stands at $19.7 million.

The NIH-backed work under the two-year grant is scheduled to commence on July 1, 2026. This initiative represents the second biosolution in eXoZymes' pipeline, following NCT, as it progresses towards partnership and commercialization. The grant includes $1,034,289 for the initial budget period and $994,229 for the second year, subject to continued progress and funding availability.

Market Context and Technology

The grant comes as the U.S. minor cannabinoids market is forecasted to grow from approximately $11.5 billion in 2023 to $33.3 billion by 2030, representing a compound annual growth rate of approximately 15%. eXoZymes' cell-free platform is designed to produce these molecules outside living cells reliably, abundantly, and at high purity to then use as starting points for new analogs that can have improved drug-like properties.

Program Objectives

Under the awarded program, eXoZymes will pursue three primary objectives:

• Advanced development of expression systems for cannabinoid cyclase enzymes.
• Strategic expansion of the range of analogs the company can produce.
• Preclinical evaluation of the Company's existing cannabinoid library using established biological targets - receptor-binding assays - supported by in-house scale capability.

Funding Breakdown

Research reported in this release was supported by the National Institute of General Medical Sciences of the National Institutes of Health under Award Number R44GM159516. eXoZymes will serve as the prime award recipient, with co-founder and CSO Dr. Tyler Korman serving as Principal Investigator. The program includes a sub-award to the laboratory of Dr. Vikram Shende at Occidental College.

eXoZymes Inc. (NASDAQ: EXOZ) has closed its previously announced underwritten public offering, raising gross proceeds of approximately $5.95 million. The biotechnology company, which focuses on AI-enhanced enzymes, issued 330,575 units to support its development and commercialization activities.

The offering included 34,440 units sold through the partial exercise of an over-allotment option. Each unit consisted of two shares of common stock and one warrant to purchase one additional share. The public offering price was set at $8.99 per share and $0.02 per warrant.

Offering Details

The warrants issued in the offering become exercisable one year from the issuance date at an exercise price of $11.24 per share. These warrants expire five years from the issuance date and are not currently listed on any national securities exchange. The company retains the right to redeem the warrants under specific conditions.

A provision allows for the warrant exercise price to reset to $0.001 if the company sells additional common stock or convertible securities before June 5, 2027, at a price lower than $8.99 per share.

Use of Proceeds

eXoZymes intends to allocate the net proceeds from the offering to several key areas. The primary focus will be on supporting the development and commercialization of N-trans-caffeoyltyramine (NCT). Additionally, funds will be used to advance other product opportunities, finance research and development activities, and provide working capital for general corporate purposes.

Regulatory and Advisory Details

MDB Capital acted as the sole book-running manager for the offering. The securities were offered pursuant to a shelf registration statement on Form S-3 (File No. 333-292781), which the U.S. Securities and Exchange Commission (SEC) declared effective on January 23, 2026. A final prospectus supplement and accompanying prospectus were filed with the SEC on June 8, 2026.