Trevi Therapeutics, Inc. (NASDAQ: TRVI) operates as a clinical-stage biopharmaceutical company, which is focused on the research, development and commercialization to treat neurological conditions. The company’s investigational therapy, Haduvio, is currently undergoing Phase 2b/3 clinical trials for the treatment of chronic pruitus associated with prurigo nodularis and a Phase 2 trial for chronic cough from idiopathic pulmonary fibrosis.
Shares of the biopharma company are rallying 37% through early trading on Thursday, April 7, 2022. Over the past three months, Trevi Therapeutics has seen average daily volume of around 686,930 shares. However, volume of 6.91 million shares or dollar volume of around $18.31 million, has already exchanged hands through early trading.
Trevi Therapeutics saw shares surge after the company announced a $55 million private placement priced at-the-market. Under the terms of the fundraising, the company will sell 4,580,526 shares of common stock at a price of $1.90 per share and pre-funded warrants to purchase up an additional 24,379,673 shares of common stock a price of $1.899 per warrant.
Frazier Life Sciences and Venrock Health Capital Partners are co-leading investors on the fundraising, with participation from Fairmount and New Enterprise Associates. Stifel is the lead placement agent, with additional support from Needham & Company, Oppenheimer & Co, and Aegis Capital Corp.
The company says they plan to use the net proceeds to continue the clinical development of its investigational therapy, Haduvio, as well as for working capital and other general corporate expenses. The private placement is estimated to close on or around April 11, 2022.
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