MetaVia announces $10M private placement

MetaVia (MTVA) announced a private placement that MetaVia estimates will result in gross proceeds of approximately $10M, before deducting the placement agent’s fees and other offering expenses payable by the company. MetaVia currently intends to use the net proceeds from the offering for working capital and corporate purposes, including to continue the clinical development of DA-1726 for the treatment of obesity. The terms of the offering include an agreement to purchase (i) 9,479,345 shares of MetaVia’s common stock at a price of 71c per share, and (ii) 4,605,162 pre-funded warrants to purchase shares of MetaVia’s common stock at a price of $0.709 per pre-funded warrant. The pre-funded warrants have an exercise price of $0.001 per pre-funded warrant, and will be exercisable beginning on the effective date of receiving stockholder approval for the shares of MetaVia’s common stock issuable upon exercise of the pre-funded warrants. The private placement was priced at-the-market under Nasdaq rules, and the closing of the private placement is expected to occur on or about May 12, subject to customary closing conditions. Ladenburg Thalmann & Co. Inc. is acting as the exclusive placement agent for the offering.