Relief Announces Capital Increase from its Final Tranche of the Share Subscription Facility with GEM
Relief Therapeutics announced a capital increase of CHF 17,949,600 via its Share Subscription Facility with GEM Global Yield Fund, boosting its cash reserves to approximately CHF 48 million. These funds will primarily support ongoing clinical trials for RLF-100, aimed at treating COVID-19 patients. The company plans to fund operations through 2022 without relying on future revenue from RLF-100 sales. The total shares outstanding will rise to 2,580,068,581.
- Capital increase of CHF 17,949,600 enhances funding for COVID-19 trials.
- Cash reserves post-funding expected to be CHF 48 million, supporting operations through 2022.
- Reliance on external funding raises concerns about long-term financial stability.
Relief Announces Capital Increase from its Final Tranche of the Share Subscription Facility with GEM
GENEVA, SWITZERLAND / ACCESSWIRE / September 28, 2020 / RELIEF THERAPEUTICS Holding SA (SIX:RLF)(OTCQB:RLFTF) ("Relief" or the "Company"), a biopharmaceutical company with its lead compound RLF-100 (aviptadil) in advanced clinical development to treat severe COVID-19 patients, today announced a capital increase pursuant to a drawdown of its Share Subscription Facility (SSF) with the Company's main shareholder GEM Global Yield Fund LLC SCS ("GEM").
Funds raised amount to CHF 17,949,600. The available cash on the balance sheet of the Company, after receipt of the funds, will be approximately CHF 48,000,000 and will be used primarily to fund the ongoing Fast Track FDA trial of RLF-100 (IV) in COVID-19 acute respiratory distress syndrome (NCT04311697) and the RLF-100 (inhaled) trial for the treatment of non-acute lung injury in COVID-19 (NCT04360096) as well as to run a phase 3 study in Europe. Relief believes that with the conclusion of this raise, its capital resources will be sufficient to support its planned operations through 2022, without taking into account potential revenues generated from sales of RLF-100. Execution of the SSF, together with the latest exercises of stock options, will bring the total amount of shares outstanding to 2,580,068,581.
Relief and GEM have agreed on an amendment to the SSF to increase the remaining balance by CHF 6,000,000 before the conclusion of this tranche. This action concludes the existing SSF and Relief has no plans to put a new one in place.
"We are now well funded to progress all ongoing and planned RLF-100 trials for COVID-19 indications and are on course to reach our next milestones. In the midst of the largest health crisis of our time, we remain committed to doing our part to ensure that as many patients as possible can quickly benefit from this potentially life-saving therapeutic option," said Raghuram (Ram) Selvaraju, Chairman of the Board of Relief.
About Relief
Relief focuses primarily on clinical-stage programs based on molecules of natural origin (peptides and proteins) with a history of clinical testing and use in human patients or a strong scientific rationale. Currently, Relief is concentrating its efforts on developing new treatments for respiratory disease indications. Its lead drug candidate RLF-100 (aviptadil), synthetic vasoactive intestinal peptide (VIP), is being investigated in two placebo-controlled US Phase IIb/III clinical trials in respiratory deficiency due to COVID-19. RLF-100 is believed to be the first COVID-19 therapeutic to demonstrate the ability to block replication of the SARS-CoV-2 virus in human lung cells and monocytes, while also preventing synthesis of cytokines in the lung. Since July 2020, severe COVID-19 patients have been treated with RLF-100 under U.S. FDA Emergency Use Investigational New Drug (IND) authorization and Expanded Access Protocol authorization for the treatment of respiratory failure in COVID-19.
Relief holds orphan drug designations from the U.S. FDA and the European Union for the use of VIP to treat ARDS, pulmonary hypertension, and sarcoidosis. Relief also holds a patent issued in the United States and various other countries covering potential formulations of RLF-100.
RELIEF THERAPEUTICS Holding SA is listed on the SIX Swiss Exchange under the symbol RLF and quoted in the U.S. on OTCQB under the symbol RLFTF.
CONTACT
RELIEF THERAPEUTICS Holding SA
Raghuram (Ram) Selvaraju, Ph.D., MBA
Chairman of the Board
Mail: contact@relieftherapeutics.com
FOR MEDIA INQUIRES:
MC Services AG
Anne Hennecke / Brittney Sojeva
Mail: relief@mc-services.eu
Tel.: +49 (0) 211-529-252-14
Disclaimer: This communication expressly or implicitly contains certain forward-looking statements concerning RELIEF THERAPEUTICS Holding SA and its business. Such statements involve certain known and unknown risks, uncertainties and other factors, which could cause the actual results, financial condition, performance or achievements of RELIEF THERAPEUTICS Holding SA to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. RELIEF THERAPEUTICS Holding SA is providing this communication as of this date and does not undertake to update any forward-looking statements contained herein as a result of new information, future events or otherwise.
SOURCE: Relief Therapeutics Holdings AG via EQS Newswire
View source version on accesswire.com:
https://www.accesswire.com/608019/Relief-Announces-Capital-Increase-from-its-Final-Tranche-of-the-Share-Subscription-Facility-with-GEM
FAQ
What was the capital raised by Relief Therapeutics from GEM on September 28, 2020?
How will Relief Therapeutics use the funds raised from the Share Subscription Facility?
What are the current cash reserves of Relief Therapeutics after the recent capital increase?
What is the total number of shares outstanding for Relief Therapeutics after the latest funding?
What are the key trials that Relief Therapeutics is funding with the new capital?
