Relief Therapeutics announces CHF 15 million private placement

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29.07.2021
Geneva-based Relief Therapeutics is progressing with great momentum. In addition to the acquisition of Germany based AdVita and obtaining CHF 15 Million private placement, the company’s US collaboration partner obtained the Emergency Use Authorization of Aviptadil in the Nation of Georgia for the treatment of critical COVID-19.

Relief Therapeutics, a biopharmaceutical company seeking to provide patients therapeutic relief from serious diseases with high unmet need announced that it has entered into a definitive agreement with two U.S. institutional investors to purchase in a private placement an aggregate of 71,428,572 shares of Relief common stock at a purchase price of CHF 0.21 per share. The aggregate gross proceeds from the private placement are expected to be approximately CHF 15 million, before deducting the placement agent fees and offering expenses payable by Relief.

Relief plans to use the net proceeds from the private placement to acquire additional assets to expand and diversify its drug pipeline, meet its obligations to pay potential milestone payments and for general corporate purposes.

Jack Weinstein, Chief Financial Officer and Treasurer of Relief, said: “This financing provides us with significant additional flexibility to both meet our potential future milestone payments for Acer Therapeutics Inc., APR Applied Pharma Research SA and AdVita Lifescience GmbH, while also expanding our ability to grow our pipeline. Chief among our priorities is moving ahead with our plan to further the development of RLF-100TM worldwide, as vaccine acceptance issues and new COVID-19 variants make the need for an effective therapy as great as ever.”

Relief concludes the acquisition of AdVita
The acquisition of AdVita Lifescience GmbH is now complete with Relief taking over all shares of the Germany-based, a privately held pharmaceutical company developing effective products and strategies to improve the treatment and diagnosis of rare lung diseases. With the acquisition, Relief has gained additional pending intellectual property rights that may cover RLF-100TM inhaled formulation specifications and the potential application of inhaled aviptadil for the treatment of lung diseases such as acute respiratory distress syndrome (ARDS), pulmonary sarcoidosis and checkpoint inhibitor-induced pneumonitis (CIP).

Under the terms of the agreement, Relief paid AdVita shareholders a total of 135,741,063 Relief common shares, representing EUR 25 million in value based on a 60-day Volume-Weighted Average Price (VWAP) of Relief’s common stock, to acquire all outstanding shares of AdVita. In addition, Relief will pay milestone payments of up to EUR 20 million in cash, contingent to the achievement of certain regulatory milestones related to AdVita’s development programs.

Emergency use of aviptadil for the  treatment of critical COVID-1 in Georgia9
Relief’s US collaboration partner, NRx Pharmaceuticals, Inc., (Nasdaq: NRXP) (“NRx”) reported in a press release that the Nation of Georgia's Prime Minister and Minister of Health have issued an Emergency Use Authorization for intravenous ZYESAMI (aviptadil) for the treatment of critical COVID-19. Discussions are underway with the Ministry of Health to provide access to aviptadil to Georgians suffering from critical COVID-19.

(Press release/RAN)

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