NEW HAVEN, Conn. – Trevi Therapeutics, Inc. (NASDAQ:), a clinical-stage biopharmaceutical company with a current market capitalization of $320.53 million, has priced its underwritten public offering of 12.5 million shares at $4.00 each, aiming to raise $50 million in gross proceeds before underwriting discounts, commissions, and other expenses. The offering is slated to close on Tuesday, subject to customary closing conditions. According to InvestingPro data, the company maintains a strong financial health score and has demonstrated impressive momentum with a 56.77% return in the past week.
The company, which is focused on developing its investigational therapy Haduvio™ (oral nalbuphine ER) for chronic cough associated with idiopathic pulmonary fibrosis (IPF) and refractory chronic cough (RCC), announced that the shares are being sold directly by Trevi. The offering has attracted a mix of new and existing investors, including notable names such as Adage Capital Partners (WA:) LP and Vivo Capital. InvestingPro analysis reveals the company maintains a healthy current ratio of 7.38, indicating strong liquidity, with analyst price targets ranging from $7 to $21.
Joint book-running managers for the offering are Leerink Partners, Stifel, and Oppenheimer & Co., with Needham & Company serving as the lead manager. Additionally, Jones and B. Riley Securities are acting as co-managers.
The sale of shares is conducted under a shelf registration statement filed with the Securities and Exchange Commission (SEC) on June 29, 2023, and declared effective on August 15, 2023. Details of the final terms will be available in a prospectus supplement to be filed with the SEC.
Trevi Therapeutics is advancing Haduvio™ as a potential treatment for chronic cough in IPF and RCC patients by targeting opioid receptors involved in cough hypersensitivity. The offering proceeds are expected to further support the company’s clinical trials and development efforts.
This press release does not constitute an offer to sell or a solicitation of an offer to buy securities, nor will there be any sale of these securities in any state or jurisdiction where such offer, solicitation, or sale would be unlawful prior to registration or qualification under the securities laws of such state or jurisdiction. For deeper insights into Trevi Therapeutics’ financial health and growth prospects, investors can access comprehensive analysis and 12+ additional ProTips through InvestingPro’s detailed research reports.
The information reported is based on a press release statement.
In other recent news, Trevi Therapeutics has made significant progress in its clinical trials and financial standing. The company’s Q3 2024 financial results revealed a net loss of $13.2 million, largely due to increased research and development expenses for ongoing clinical trials for the drug Haduvio. However, Trevi’s cash and equivalents stand at $65.5 million, projected to last into the second half of 2026.
The company announced positive results from a human abuse potential study for its drug, oral nalbuphine. The study demonstrated a statistically significant lower “Drug Liking” at clinical doses compared to an active comparator, marking a significant milestone in the drug’s development process.
Trevi is also conducting several clinical trials, including the CORAL Phase 2b trial for chronic cough associated with idiopathic pulmonary fibrosis, and the RIVER trial for refractory chronic cough. The results from these trials are anticipated by the first half of 2025.
Oppenheimer analysts have maintained an Outperform rating for Trevi Therapeutics, reflecting confidence in the potential of Haduvio. They have set ambitious price targets for the company, ranging from $6 to $21. This is a part of the recent developments in Trevi Therapeutics.
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