Paradigm Biopharmaceuticals to return US$2M to Obsidian

• Paradigm Biopharmaceuticals agreed to return US$2 million from a recent funding drawdown to Obsidian Global GP.
• The company's shares remain in a voluntary suspension on the ASX following the announcement.
• The decision comes as the company continues to evaluate interim analysis data from its Phase 3 clinical trial.

Paradigm Biopharmaceuticals (ASX:PAR) has agreed to return US$2 million to Obsidian Global GP and cancel 2,000,000 convertible notes.

The returned funds were originally drawn down on 11 September 2026 to support Phase 3 clinical trial operations for knee osteoarthritis treatment.

Unblinded team members are currently reviewing the trial data to assess the implications of the interim analysis findings.

Paradigm stated that returning the US$2 million will reduce its available cash, while no additional fees or premiums are payable.

Following the announcement, the Paradigm Biopharmaceuticals share price was unchanged at $0.24, as securities remain in a voluntary suspension on the ASX.

The company reported that future funding requirements and programme activities will be evaluated once the ongoing data review is complete.