Reviva to sell 5.85M shares at $5.125 in registered direct offering

Reviva Pharmaceuticals has entered into definitive agreements with several healthcare-focused institutional investors, and an investment vehicle managed by a firm affiliated with a member of the Company’s Board of Directors, for the sale and issuance of 5,853,660 shares of the Company’s common stock and warrants to purchase up to 5,853,660 shares of common stock at a combined offering price of $5.125 per share of common stock and accompanying warrant in a registered direct offering priced at-the-market under the Nasdaq rules. The warrants have an exercise price of $5.00 per share, will be immediately exercisable and will expire five years following the date of issuance. The closing of the offering is expected to occur on or about November 20, 2023, subject to the satisfaction of customary closing conditions. H.C. Wainwright & Co. is acting as the exclusive placement agent for the offering. The gross proceeds to Reviva from this offering are expected to be approximately $30,000,000, before deducting the placement agent’s fees and other offering expenses. Reviva intends to use the net proceeds from this offering, together with its existing cash and cash equivalents, to fund research and development activities, including the registrational Phase 3 RECOVER-2 trial and other clinical and regulatory development and the continued development of Reviva’s product candidates and for working capital and other general corporate purposes. Reviva may also use a portion of the net proceeds and its existing cash and cash equivalents for acquisitions or investments in businesses, products or technologies that are complementary to its own. However, Reviva currently does not have agreements or commitments to complete any such transaction.