Praxis Precision Medicines closes financing, reiterates corporate priorities

Praxis Precision Medicines announced the closing of the underwritten public offering of shares of common stock and pre-funded warrants, including the full exercise of the underwriters’ overallotment option. The net proceeds from the offering are $63.3 million, after deducting underwriting discounts and commissions and estimated offering expenses. Together with the Company’s existing cash, cash equivalents and marketable securities, this extends the cash runway into the first quarter of 2025. The proceeds will be used to advance the development of ulixacaltamide into two Phase 3 studies for essential tremor, to continue clinical development of PRAX-562, PRAX-222 and PRAX-628 for various epilepsies, and for working capital and other general corporate purposes.The Company has initiated a study evaluating PRAX-628 in photo-sensitive epilepsy patients, also known as a PPR study, with expected readout by year end. Similar studies have shown a positive correlation to anti-seizure medicines used to treat focal epilepsy. With this study, Praxis plans to validate the mechanism of action of PRAX-628 and inform the study design for its Phase 2b program. Praxis remains on-track for reading out the Phase 2 Study for PRAX-562 and the first cohort for PRAX-222 in DEEs by year end.