Reviva Pharmaceutical has secured USD 5 million in an underwritten offering of ~4.8 million ordinary shares along with investor warrants to purchase up to the same amount of shares of common stock at a combined offering price of USD 1.05 per share and accompanying warrant. The offering is expected to close on August 22.

The funds are expected to support R&D, the company’s RECOVER-2 trial, general working capital, and other corporate purposes. RECOVER-2 is a global Phase III, randomized, double-blind, placebo-controlled, multicenter study conducted over four weeks to evaluate the safety and efficacy of brilaroxazine in approximately 450 patients with acute schizophrenia compared to a placebo.

Reviva Pharmaceutical is a clinical-stage pharmaceutical company focused on developing therapies to meet unmet medical needs in central nervous system (CNS), cardiovascular, metabolic, and inflammatory diseases. The company’s pipeline includes two drug candidates, brilaroxazine (RP5063) and RP1208, both of which are novel chemical entities discovered in-house through its chemical genomics-driven technology platform.

Analyst QuickTake: On August 15, 2024, the company announced that it had reached alignment with the US FDA on its registrational Phase III program for brilaroxazine in the treatment of schizophrenia. The FDA had accepted the four-week RECOVER-2 study for brilaroxazine in schizophrenia and had noted that two positive Phase III studies with four-week efficacy and at least 12 months of long-term safety data could support a new drug application (NDA) submission for acute schizophrenia treatment.