Aravive Announces $10 Million Registered Direct Offering Priced At-The-Market Under Nasdaq Rules
March 30 2022 - 8:00AM
Aravive, Inc. (Nasdaq: ARAV), a late clinical-stage oncology
company developing targeted therapeutics to treat metastatic
disease, announced today that it has entered into definitive
agreements with a single healthcare-focused institutional investor
and Eshelman Ventures, LLC for the issuance and sale of an
aggregate of 4,850,241 shares of its common stock (or common stock
equivalents in lieu thereof) and warrants to purchase up to an
aggregate of 4,850,241 shares of common stock in a registered
direct offering priced at-the-market under Nasdaq rules. The
purchase price per share and accompanying warrant is $2.005 for the
institutional investor and $2.325 for Eshelman Ventures, LLC.
H.C. Wainwright & Co. is acting as the
exclusive placement agent for the offering.
The warrants to be issued to the institutional
investor will be immediately exercisable, will expire five years
following the issuance date and will have an exercise price of
$1.88 per share. The warrants to be issued to Eshelman Ventures,
LLC will be exercisable upon the approval by the stockholders of
the Company of previously issued securities, will expire five years
following the issuance date and will have an exercise price of
$2.20 per share.
The Company’s Executive Chairman, Fredric N.
Eshelman, Pharm.D., is the founder of Eshelman Ventures, LLC.
The closing of the offering is expected to occur
on or about March 31, 2022, subject to the satisfaction of
customary closing conditions. The gross proceeds from the offering
are expected to be approximately $10 million. The Company intends
to use the net proceeds from the offering to continue clinical
development of batiraxcept in platinum resistant ovarian cancer and
clear cell renal cell carcinoma, and for general corporate
purposes.
The offering of the securities described above
is being made only by means of a prospectus supplement and
accompanying base prospectus. The Company has filed a shelf
registration on Form S-3 (File No. 333-248612) (including a base
prospectus) with the U.S. Securities and Exchange Commission
(“SEC”), which was declared effective on November 20, 2020. A final
prospectus supplement and accompanying base prospectus relating to
the offering will be filed with the SEC and will be available on
the SEC’s website, located at www.sec.gov. Electronic copies
of the prospectus supplement and the accompanying base prospectus
for the offering may also be obtained, when available, by
contacting H.C. Wainwright & Co., LLC, at 430 Park Ave., 3rd
Floor, New York, New York 10022, by telephone at (212) 856-5711, or
by email at placements@hcwco.com.
This press release does not constitute an offer
to sell or a solicitation of an offer to buy the securities in this
offering, nor shall there be any sale of these securities in any
state or other jurisdiction in which such offer, solicitation or
sale would be unlawful prior to the registration or qualification
under the securities laws of any such state or other
jurisdiction.
About AraviveAravive, Inc. is a
late clinical-stage oncology company developing targeted
therapeutics to treat metastatic disease. Our lead product
candidate, batiraxcept (formerly AVB-500), is an ultra-high
affinity decoy protein that binds to GAS6, the sole ligand that
activates AXL, thereby inhibiting metastasis and tumor growth, and
restoring sensitivity to anti-cancer agents. Batiraxcept has been
granted Fast Track Designation by the U.S. FDA and Orphan Drug
Designation by the European Commission in platinum-resistant
recurrent ovarian cancer. Batiraxcept is in an active
registrational Phase 3 trial in platinum resistant ovarian cancer
(NCT04729608), a Phase 1b/2 trial in clear cell renal cell
carcinoma (NCT04300140), and a Phase 1b/2 trial in pancreatic
adenocarcinoma (NCT04983407). Additional information at
www.aravive.com.
Contact:Marek Ciszewski,
J.D.Vice President, Investor Relationsmciszewski@aravive.com(562)
373-5787
Forward-Looking StatementsThis
press release includes forward-looking statements within the
meaning of the Private Securities Litigation Reform Act of 1995 on
our current expectations and projections about future events. These
forward-looking statements are subject to risks and uncertainties
including, among other things, the completion of the registered
direct offering, the satisfaction of customary closing conditions
related to the registered direct offering and the intended use of
proceeds from the registered direct offering. In some cases,
forward-looking statements can be identified by terminology such as
“may,” “should,” “potential,” “continue,” “expects,” “anticipates,”
“intends,” “plans,” “believes,” “estimates,” and similar
expressions,. Forward-looking statements are based on current
beliefs and assumptions, are not guarantees of future performance
and are subject to risks and uncertainties that could cause actual
results to differ materially from those contained in any
forward-looking statement as a result of various factors,
including, but not limited to, risks and uncertainties related to:
market and other conditions, the ability to consummate the
offering, the ability to provide data when anticipated and reach
anticipated milestones, the Company's ability to expand development
into additional indications, the Company's dependence upon
batiraxcept, batiraxcept’s ability to have favorable results in
clinical trials and ISTs, the clinical trials of batiraxcept having
results that are as favorable as those of preclinical and clinical
trials, the ability to receive regulatory approval, potential
delays in the Company's clinical trials due to regulatory
requirements or difficulty identifying qualified investigators or
enrolling patients especially in light of the COVID-19 pandemic;
the risk that batiraxcept may cause serious side effects or have
properties that delay or prevent regulatory approval or limit its
commercial potential; the risk that the Company may encounter
difficulties in manufacturing batiraxcept; if batiraxcept is
approved, risks associated with its market acceptance, including
pricing and reimbursement; potential difficulties enforcing the
Company's intellectual property rights; the Company's reliance on
its licensor of intellectual property and financing needs. The
foregoing review of important factors that could cause actual
events to differ from expectations should not be construed as
exhaustive and should be read in conjunction with statements that
are included herein and elsewhere, including the risk factors
included in the Company's Annual Report on Form 10-K for the fiscal
year ended December 31, 2020, recent Current Reports on Form 8-K
and subsequent filings with the SEC. Except as required by
applicable law, the Company undertakes no obligation to revise or
update any forward-looking statement, or to make any other
forward-looking statements, whether as a result of new information,
future events or otherwise.
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