Revive Therapeutics Announces $3 Million Private Placement for Clinical and Operational Advancements

Revive Therapeutics Ltd. a prominent player in the biopharmaceutical sector, has recently announced its plan to initiate a significant private placement to fuel its ongoing and future projects. This strategic move, aimed at garnering up to $3 million in funding, represents a pivotal moment for the company’s financial and clinical trajectory.

Under the terms of the offering, Revive intends to release a maximum of 85,714,285 units, priced at $0.035 per unit. Each unit in this offering comprises one common share in the capital of the company and a half warrant. These warrants enable holders to purchase an additional common share at a price of $0.05, valid for a period of thirty-six months post the closing date of the offering.

The company has earmarked the net proceeds from this offering for several critical areas. These include conducting clinical work on long COVID and exploring other potential medical indications, advancing government studies, possibly repaying certain arm’s length payables, and bolstering its general working capital. This diversified allocation highlights Revive’s commitment to both its immediate operational needs and its long-term strategic goals.

In addition to the direct offering, Revive will also be compensating EMD Financial Inc. and other registrants participating in the placement. This compensation involves cash fees up to 8% of the gross proceeds and the issuance of finder warrants, amounting to 8% of the number of units issued. These finder warrants are exercisable at $0.05 per Compensation Unit and are valid for eighteen months following the offering’s closing.

This offering is scheduled to close in one or more tranches, with the first tranche expected to be completed by February 1, 2024. However, this closing is contingent upon meeting certain conditions, including necessary regulatory approvals and the sanction of the Canadian Securities Exchange (CSE). Moreover, all securities issued in this offering will be subject to a statutory hold period of four months and one day, underlining the regulatory compliance of this financial maneuver.

Revive’s latest financial endeavor reflects its strategic foresight in securing funds essential for its ambitious clinical and operational objectives. This move, significant in its scope and potential impact, marks a new chapter in Revive’s journey as it continues to innovate and expand its footprint in the biopharmaceutical industry.