Oncotelic Adds $178K Convertible Note with Pacific Pier, Deepening a Distress-Financing Pattern
OTLC has more than doubled off its 52-week low of $0.015.
Summary
Oncotelic Therapeutics obtained a $178,410 convertible note from Pacific Pier Capital II, LP with a floating conversion price tied to 85% of the lowest traded price, adding to a pattern of distress financing amid a going-concern warning.
Key Events · Financing and Capital Events · OTLC
-
New Convertible Note with Pacific Pier
On August 3, 2026, Oncotelic issued a $178,410 convertible note to Pacific Pier Capital II, LP, with a 12% original issue discount, 12% annual interest, and a 1-year maturity.
-
Deeply Dilutive Conversion Terms
The note converts at the lesser of $0.06 or 85% of the lowest traded price during the 10 trading days prior to conversion. At the current $0.0354 stock price, the effective conversion price could be as low as $0.0301, enabling massive dilution.
-
Commitment Shares Issued
Pacific Pier received 500,000 shares of common stock as commitment shares, representing immediate dilution of approximately 0.11% of outstanding shares.
-
Escalating Distress Financing Pattern
This is the second convertible note with Pacific Pier in five weeks, following a $157,000 note in June 2026. The company also has a going-concern warning and debt default from its May 2026 10-Q, indicating severe cash constraints.
Analysis · OTLC · Life Sciences
Just over a month after a similar $157,000 convertible note, Oncotelic Therapeutics has entered into a new $178,410 convertible note with Pacific Pier Capital II, LP. The instrument carries a 12% original issue discount, 12% interest, and converts at the lesser of $0.06 or 85% of the lowest traded price over 10 days — a deeply dilutive structure. With the stock at $0.0354, the floating conversion floor is effectively uncapped, threatening massive dilution. The company also issued 500,000 commitment shares. This follows a going-concern warning and debt default disclosed in May 2026, signaling escalating cash desperation and reliance on toxic financing.
How filings like this one have moved
In the 30 days to Oct 1, 2026, 36.1% of the 1051 measured filings Wiseek scored 8 moved their stock by 5% or more by the next session's close. The median move was -0.56%. These are measured outcomes after filings of this importance, not a forecast for this one.
Measured one observation per ticker per day, after exclusions. Current figures: Filing Impact Tracker · open dataset
At the time of this filing, OTLC was trading at $0.04 on OTC in the Life Sciences sector, with a market capitalization of approximately $15.7M. The 52-week trading range was $0.02 to $0.11. This filing was assessed with negative market sentiment and an importance score of 8 out of 10.