07:42 AM EDT, 10/20/2025 (MT Newswires) -- Alto Neuroscience ( ANRO ) said Monday that it signed a securities purchase agreement with institutional and accredited investors for a $50 million private investment in public equity, or PIPE, financing.

The company is selling about 3.8 million common shares at $5.914 each and pre-funded warrants to purchase up to about 4.6 million common shares at $5.9139 per pre-funded warrant under the financing, according to the statement.

Alto Neuroscience ( ANRO ) expects to close the financing on Tuesday and said proceeds will be used to accelerate the development of its ALTO-207 product candidate and for working capital.

The company plans to start a phase 2b study of ALTO-207 in treatment resistant depression by mid-2026 and said it also expects to start a phase 3 study by early 2027 using funds from the financing.

Shares of Alto Neuroscience ( ANRO ) were up more than 6% in recent premarket activity Monday.