Annovis Bio closed a $21 million public offering to advance Alzheimer's and Parkinson's disease therapies.
Quiver AI Summary
Annovis Bio, Inc. has successfully completed an underwritten public offering of 5,250,000 shares of common stock, along with warrants to purchase the same amount of shares, at a combined price of $4.00 per share. The total gross proceeds from the offering are approximately $21 million, which will primarily fund the ongoing clinical development of Buntanetap in a Phase 3 study for Alzheimer’s disease, along with general corporate needs. The warrants, which allow purchase at $5.00 per share, are exercisable for five years. The offering was conducted under a shelf registration statement with the SEC, and ThinkEquity served as the sole book-running manager. Annovis Bio focuses on innovative therapies for neurodegenerative diseases, specifically targeting neurotoxic proteins to enhance brain function and patient quality of life.
Potential Positives
- Successful closing of a $21 million public offering, providing significant financial resources for clinical development.
- Net proceeds will primarily fund the Phase 3 study of the lead compound Buntanetap for Alzheimer’s disease, advancing critical research in neurodegenerative diseases.
- Issuance of warrants provides potential for additional capital through future exercises, enhancing financial flexibility.
- Demonstrates successful engagement with investors and market confidence in Annovis Bio's pipeline and strategy for addressing Alzheimer’s and Parkinson’s diseases.
Potential Negatives
- The public offering of shares at a price of $4.00 indicates a lack of investor confidence in the stock's current value, as it is lower than anticipated and could dilute existing shareholders' equity.
- The mention of "risks and uncertainties" related to patient enrollment and the effectiveness of Buntanetap casts doubt on the company's clinical trial outcomes, which could impact future funding and stock performance.
- The need for additional funding for "working capital and general corporate purposes" may signal potential liquidity issues, raising concerns about the company's financial stability.
FAQ
What is the recent announcement by Annovis Bio, Inc.?
Annovis Bio, Inc. announced the closing of a public offering of 5,250,000 shares of common stock and warrants, raising $21 million.
What will Annovis Bio do with the proceeds from the offering?
The proceeds will primarily fund the clinical development of Buntanetap for Alzheimer's disease and support working capital needs.
What are the terms of the warrants issued in the offering?
The warrants have an exercise price of $5.00 per share and are immediately exercisable for five years.
Who managed the public offering for Annovis Bio?
ThinkEquity acted as the sole book-running manager for the public offering.
Where can I find more information about Annovis Bio and the offering?
More information is available on the company's website and through the SEC at www.sec.gov.
Disclaimer: This is an AI-generated summary of a press release distributed by GlobeNewswire. The model used to summarize this release may make mistakes. See the full release here.
$ANVS Hedge Fund Activity
We have seen 22 institutional investors add shares of $ANVS stock to their portfolio, and 13 decrease their positions in their most recent quarter.
Here are some of the largest recent moves:
- CITADEL ADVISORS LLC added 102,692 shares (+inf%) to their portfolio in Q3 2024, for an estimated $827,697
- ADAGE CAPITAL PARTNERS GP, L.L.C. removed 100,000 shares (-100.0%) from their portfolio in Q3 2024, for an estimated $806,000
- MERIT FINANCIAL GROUP, LLC added 71,816 shares (+269.0%) to their portfolio in Q4 2024, for an estimated $361,234
- QUEST PARTNERS LLC added 46,002 shares (+inf%) to their portfolio in Q3 2024, for an estimated $370,776
- SUSQUEHANNA INTERNATIONAL GROUP, LLP added 31,520 shares (+inf%) to their portfolio in Q3 2024, for an estimated $254,051
- MODERA WEALTH MANAGEMENT, LLC removed 30,513 shares (-100.0%) from their portfolio in Q3 2024, for an estimated $245,934
- D. E. SHAW & CO., INC. added 24,410 shares (+inf%) to their portfolio in Q3 2024, for an estimated $196,744
To track hedge funds' stock portfolios, check out Quiver Quantitative's institutional holdings dashboard.
Full Release
MALVERN, PA, Feb. 04, 2025 (GLOBE NEWSWIRE) -- via IBN - Annovis Bio, Inc. (NYSE: ANVS) (“Annovis” or the “Company”), a late-stage clinical drug platform company pioneering transformative therapies for neurodegenerative diseases such as Alzheimer’s disease (AD) and Parkinson’s disease (PD), today announced the closing of its previously announced underwritten public offering of 5,250,000 shares of common stock and warrants to purchase 5,250,000 shares of common stock at a combined public offering price of $4.00 per share and associated warrant. The warrants have an exercise price of $5.00 per share and are immediately exercisable upon issuance for a period of five years following the date of issuance. Total gross proceeds from the offering, before deducting the underwriter’s discounts and other offering expenses, were $21 million.
The Company intends to use the net proceeds from the offering primarily for the continued clinical development of the Company’s lead compound, Buntanetap in a Phase 3 study for Alzheimer’s disease, and for working capital and general corporate purposes.
ThinkEquity acted as the sole book-running manager for the offering.
The securities were offered and sold pursuant to a shelf registration statement on Form S-3, as amended (File No. 333-276814), including a base prospectus, filed with the U.S. Securities and Exchange Commission (the “SEC”) on February 1, 2024, and declared effective on February 12, 2024. The offering was made only by means of a written prospectus. A final prospectus supplement and accompanying prospectus describing the terms of the offering have been filed with the SEC on its website at www.sec.gov. Copies of the final prospectus supplement and the accompanying prospectus relating to the offering may also be obtained, when available, from the offices of ThinkEquity, 17 State Street, 41 st Floor, New York, New York 10004.
This press release shall not constitute an offer to sell or a solicitation of an offer to buy, nor shall there be any sale of these securities in any state or jurisdiction in which such an offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.
About Annovis Bio, Inc.
Headquartered in Malvern, Pennsylvania, Annovis is dedicated to addressing neurodegeneration in diseases such as AD and PD. The company’s innovative approach targets multiple neurotoxic proteins, aiming to restore brain function and improve the quality of life for patients. For more information, visit www.annovisbio.com and follow us on LinkedIn, YouTube, and X.
Forward Looking Statements
This press release contains “forward-looking” statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These statements include, but are not limited to, the Company’s plans related to clinical trials. Forward-looking statements are based on current expectations and assumptions and are subject to risks and uncertainties that could cause actual results to differ materially from those projected. Such risks and uncertainties include, but are not limited to, those related to patient enrollment, the effectiveness of Buntanetap, and the timing, effectiveness, and anticipated results of the Company’s clinical trials evaluating the efficacy, safety, and tolerability of Buntanetap. Additional risk factors are detailed in the Company’s periodic filings with the SEC, including those listed in the “Risk Factors” section of the Company’s Annual Report on Form 10-K and Quarterly Reports on Form 10-Q. All forward-looking statements in this press release are based on information available to the Company as of the date of this release. The Company expressly disclaims any obligation to update or revise its forward-looking statements, whether as a result of new information, future events, or otherwise, except as required by law.
Contact:
Annovis Bio Inc.
101 Lindenwood Drive
Suite 225
Malvern, PA 19355
www.annovisbio.com
Investor Contact:
Scott McGowan
InvestorBrandNetwork (IBN)
Phone: 310.299.1717
www.annovisbio.com/investors-relations
[email protected]
