Relmada Therapeutics Announces Pricing of Upsized Public Offering of Common Stock

Rhea-AI Summary

Relmada Therapeutics (Nasdaq: RLMD) announced an upsized public offering of 8,823,530 shares at $17.00 per share, expected to yield approximately $150 million in gross proceeds before discounts and expenses. The offering, set to close on December 13, 2021, is fully underwritten and includes a 30-day option for underwriters to purchase an additional 1,323,529 shares. Funds will support research and development for REL-1017, aimed at treating depression, alongside general corporate purposes.

Positive

• Expected gross proceeds of approximately $150 million to fund R&D activities.
• Funds will be utilized for the clinical development of REL-1017 for treating depression.

Negative

• Potential dilution of shares due to the public offering.

CORAL GABLES, Fla., Dec. 8, 2021 /PRNewswire/ -- Relmada Therapeutics, Inc. (Nasdaq: RLMD), a late-stage biotechnology company addressing diseases of the central nervous system (CNS), today announced the pricing of an upsized underwritten public offering of 8,823,530 shares of its common stock at a public offering price of $17.00 per share. The gross proceeds to Relmada from the offering, before deducting underwriting discounts and commissions and other expenses payable by Relmada, are expected to be approximately $150 million. All of the shares in the offering are being sold by Relmada. The offering is expected to close on December 13, 2021, subject to customary closing conditions. In addition, Relmada has granted the underwriters a 30-day option to purchase up to an additional 1,323,529 shares of Relmada's common stock at the public offering price, less underwriting discounts and commissions.

Goldman Sachs & Co. LLC, Jefferies and Guggenheim Securities are acting as joint book-running managers for the offering.

Relmada intends to use the net proceeds from the offering, together with existing cash, cash equivalents, and short-term investments, to fund research and development activities for its clinical development programs related to Relmada's lead product candidate, REL-1017 (esmethadone), which is being developed as a rapidly acting, oral agent for the treatment of depression and other potential indications, as well as for working capital and general corporate purposes.

The securities described above are being offered by Relmada pursuant to a shelf registration statement on Form S-3 that was declared effective by the Securities and Exchange Commission (SEC) on August 21, 2020. The offering is being made only by means of a written prospectus and prospectus supplement that form a part of the registration statement. A final prospectus supplement relating to the offering will be filed with the SEC and will be available on the SEC's website at www.sec.gov. Copies of the final prospectus supplement and the accompanying prospectus, when available, may also be obtained by request by contacting Goldman, Sachs & Co. LLC, Attn: Prospectus Department, 200 West Street, New York, New York 10282, or by telephone at 1-866-471-2526, or by email at prospectus-ny@ny.email.gs.com; Jefferies LLC, Attention: Equity Syndicate Prospectus Department, 520 Madison Avenue, 2nd Floor, New York, NY 10022, or by telephone at (877) 821-7388, or by e-mail at Prospectus_Department@Jefferies.com; or Guggenheim Securities, LLC, Attention: Equity Syndicate Department, 330 Madison Avenue, 8th Floor, New York, NY 10017, by telephone at (212) 518-9544, or by email at GSEquityProspectusDelivery@guggenheimpartners.com.

This press release is for informational purposes only and does not constitute an offer to sell or a solicitation of an offer to buy, nor shall there be any sale of any securities of Relmada, in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.

About Relmada Therapeutics, Inc.

Relmada Therapeutics is a late-stage biotechnology company addressing diseases of the central nervous system (CNS), with a focus on major depressive disorder (MDD). Relmada's experienced and dedicated team is committed to making a difference in the lives of patients and their families. Relmada's lead program, REL-1017, is a new chemical entity (NCE) and novel NMDA receptor (NMDAR) channel blocker that preferentially targets hyperactive channels while maintaining physiological glutamatergic neurotransmission. REL-1017 has entered late-stage development as an adjunctive treatment for MDD in adults.  In addition, the Company is advancing a clinical-stage program in neurodegenerative diseases based on psilocybin and select derivative molecules.

Forward-Looking Statements

The Private Securities Litigation Reform Act of 1995 provides a safe harbor for forward-looking statements made by us or on our behalf. This press release contains statements which constitute "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, including but not limited to statements regarding Relmada's ability to complete the offering, expected gross proceeds, expected closing date of the offering and the expected use of the proceeds from the offering. Any statement that is not historical in nature is a forward-looking statement and may be identified by the use of words and phrases such as "expects," "anticipates," "believes," "will," "will likely result," "will continue," "plans to," "potential," "promising," and similar expressions. These statements are based on management's current expectations and beliefs and are subject to a number of risks, uncertainties and assumptions that could cause actual results to differ materially from those described in the forward-looking statements, including the risk factors described under the heading "Risk Factors" set forth in the Company's reports filed with the SEC from time to time. No forward-looking statement can be guaranteed, and actual results may differ materially from those projected. Relmada undertakes no obligation to publicly update any forward-looking statement, whether as a result of new information, future events, or otherwise. Readers are cautioned that it is not possible to predict or identify all the risks, uncertainties and other factors that may affect future results and that the risks described herein should not be considered a complete list.

Investor Contact 

Tim McCarthy
LifeSci Advisors
212-915-2564
tim@lifesciadvisors.com

Media contact:

FischTank PR
relmada@fischtankpr.com

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SOURCE Relmada Therapeutics, Inc.

FAQ

What is the pricing of Relmada Therapeutics' public offering?

Relmada Therapeutics has priced its public offering at $17.00 per share.

How much money does Relmada Therapeutics expect to raise from the offering?

Relmada expects to raise approximately $150 million in gross proceeds from the offering.

When is the expected closing date for Relmada Therapeutics' offering?

The offering is expected to close on December 13, 2021.

What will Relmada Therapeutics do with the proceeds from the offering?

The proceeds will be used to fund research and development for REL-1017 and for general corporate purposes.

Who are the underwriters for Relmada Therapeutics' public offering?

Goldman Sachs, Jefferies, and Guggenheim Securities are acting as joint book-running managers for the offering.