Revive Therapeutics Conducts $10.0 Million Bought Deal Financing
Revive Therapeutics (CSE: RVV) this evening announced that it will be conducting a bought deal financing, lead by Leede Jones Gable and Canaccord Genuity Corp. The financing will see the company raise $10.0 million through the sale of units at a price of $0.50 per each.
A total of 20.0 million units are expected to be sold under the financing, with each unit consisting of one common share and one common share purchase warrant. Each warrant is valid for a period of three years from the date of issuance, and contains an exercise price of $0.70 per share.
An acceleration clause is also present on the warrants, enabling the company to accelerate the expiry of the warrants if the equity trades above $1.10 for a period of ten consecutive trading days on a volume weighted basis. A 15% over-allotment option has also been granted to the underwriters, valid for a period of 30 days from the closing of the financing.
Net proceeds from the financing are to be used for phase 3 clinical costs for the use of Bucillamine in the treatment of COVID-19, phase 1 clinical costs for psilocybin for methamphetamine use disorder study, as well as other psychedelic formulation development work, working capital, and general corporate purposes.
Revive Therapeutics last traded at $0.60 on the CSE.
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