Acrivon Therapeutics, Inc. (“Acrivon” or “Acrivon Therapeutics”)
(Nasdaq: ACRV), a clinical stage biopharmaceutical company
developing precision oncology medicines that it matches to patients
whose tumors are predicted to be sensitive to each specific
medicine by utilizing its proprietary proteomics-based patient
responder identification platform, Acrivon Predictive Precision
Proteomics (AP3), today announced that it has entered into a
securities purchase agreement with certain existing and new
accredited investors to issue and sell an aggregate of 8,235,000
shares of its common stock at a price of $8.50 per share, a premium
to the closing price on April 8, 2024, and pre-funded warrants to
purchase up to an aggregate of 7,060,000 shares of common stock at
a purchase price of $8.499 per pre-funded warrant, through a
private investment in public equity (“PIPE”) financing. The
pre-funded warrants will have an exercise price of $0.001 per share
of common stock, be immediately exercisable and remain exercisable
until exercised in full.
Acrivon anticipates the gross proceeds from the
oversubscribed PIPE to be approximately $130 million, before
deducting fees to the placement agent and other offering expenses
payable by the company. The closing of the financing is expected to
occur on April 11, 2024, subject to customary closing
conditions.
The private placement is being led by a new
US-based healthcare and life sciences investor and includes other
new and key existing investors, including RA Capital Management,
Perceptive Advisors, Paradigm BioCapital, Surveyor Capital (a
Citadel company), Sands Capital, and Acorn Bioventures.
“We are excited to announce this financing and
thank our new and key existing investors who have shown their
support for and confidence in Acrivon,” said Peter Blume-Jensen,
M.D., Ph.D., chief executive officer, president, and founder of
Acrivon Therapeutics. “With this funding, we are well positioned to
continue the advancement of our lead clinical asset, ACR-368,
currently in registrational-intent Phase 2 trials, as well as our
preclinical pipeline including ACR-2316, our internally-discovered,
novel WEE1/PKMYT1 inhibitor and our recently declared cell cycle
regulatory program with an undisclosed target. I am particularly
excited about the enthusiasm for the broad potential of Acrivon’s
differentiated AP3 platform and their support for our compelling
long-term strategy aiming to transform precision medicine for the
benefit of patients.”
Acrivon currently expects to use the net
proceeds from the private placement, together with its existing
cash, cash equivalents and investments, to fund the continued
advancement of its pipeline, including ACR-368, ACR-2316, and its
undisclosed cell cycle regulatory program, to fund research and
development to broaden its use and applications of its AP3
platform, to leverage its vast proprietary data sets through
artificial intelligence and machine learning, and for other general
corporate purposes.
Acrivon believes its cash, cash equivalents and
investments, including the expected net proceeds from the private
placement, will provide sufficient funding of planned operations
into the second half of 2026 with flexibility to extend
further.
Jefferies acted as the exclusive placement agent
in the private placement.
The securities sold in this PIPE are being made
in a transaction not involving a public offering and have not been
registered under the Securities Act of 1933, as amended, and may
not be offered or sold in the United States except pursuant to an
effective registration statement or an applicable exemption from
the registration requirements. Pursuant to the securities purchase
agreement, the company has agreed to file a registration statement
with the Securities and Exchange Commission registering the resale
of the securities sold in the PIPE.
This press release shall not constitute an offer
to sell or a solicitation of an offer to buy these securities, nor
shall there be any sale of these securities in any state or other
jurisdiction in which such offer, solicitation or sale would be
unlawful prior to the registration or qualification under the
securities laws of any such state or other jurisdiction. Any
offering of the common stock described above under the resale
registration statement will only be by means of a prospectus.
About Acrivon Therapeutics
Acrivon is a clinical stage biopharmaceutical company developing
precision oncology medicines that it matches to patients whose
tumors are predicted to be sensitive to each specific medicine by
utilizing Acrivon’s proprietary proteomics-based patient responder
identification platform, Acrivon Predictive Precision Proteomics,
or AP3. The AP3 platform is engineered to measure compound-specific
effects on the entire tumor cell protein signaling network and
drug-induced resistance mechanisms in an unbiased manner. These
distinctive capabilities enable AP3’s direct application for drug
design optimization for monotherapy activity, the identification of
rational drug combinations, and the creation of drug-specific
proprietary OncoSignature companion diagnostics that are used to
identify the patients most likely to benefit from Acrivon’s drug
candidates. Acrivon is currently advancing its lead candidate,
ACR-368, a selective small molecule inhibitor targeting CHK1 and
CHK2 in a potentially registrational Phase 2 trial across multiple
tumor types. The company has received Fast Track designation from
the Food and Drug Administration, or FDA, for the investigation of
ACR-368 as monotherapy based on OncoSignature-predicted sensitivity
in patients with platinum-resistant ovarian or endometrial cancer.
Acrivon’s ACR-368 OncoSignature test, which has not yet obtained
regulatory approval, has been extensively evaluated in preclinical
studies, including in two separate, blinded, prospectively-designed
studies on pretreatment tumor biopsies collected from past
third-party Phase 2 trials in patients with ovarian cancer treated
with ACR-368. The FDA has granted Breakthrough Device designation
for the ACR-368 OncoSignature assay for the identification of
ovarian cancer patients who may benefit from ACR-368 treatment. In
addition to ACR-368, Acrivon is also leveraging its proprietary AP3
precision medicine platform for developing its
co-crystallography-driven, internally-discovered preclinical stage
pipeline programs. These include ACR-2316, a potent, selective
WEE1/PKMYT1 inhibitor development candidate with single-agent
activity, and a cell cycle program with an undisclosed target.
Forward-Looking Statements This
press release includes certain disclosures that contain
“forward-looking statements” within the meaning of the Private
Securities Litigation Reform Act of 1995 about us and our industry
that involve substantial risks and uncertainties. All statements
other than statements of historical facts contained in this press
release, including statements regarding the expected closing of the
PIPE, our anticipated use of proceeds from the PIPE, whether the
conditions for the closing of the PIPE will be satisfied, the
filing of a registration statement to register the resale of the
securities to be issued and sold in the PIPE, our future results of
operations or financial condition, business strategy and plans and
objectives of management for future operations, are forward-looking
statements. In some cases, you can identify forward-looking
statements because they contain words such as “anticipate,”
“believe,” “contemplate,” “continue,” “could,” “estimate,”
“expect,” “intend,” “may,” “plan,” “potential,” “predict,”
“project,” “should,” “target,” “will,” or “would” or the negative
of these words or other similar terms or expressions.
Forward-looking statements are based on Acrivon’s current
expectations and are subject to inherent uncertainties, risks and
assumptions that are difficult to predict. Factors that could cause
actual results to differ include, but are not limited to, risks and
uncertainties that are described more fully in the section titled
“Risk Factors” in our reports filed with the Securities and
Exchange Commission. Forward-looking statements contained in this
press release are made as of this date, and Acrivon undertakes no
duty to update such information except as required under applicable
law.
Investor and Media Contacts: Adam D. Levy,
Ph.D., M.B.A.alevy@acrivon.com
Alexandra Santos asantos@wheelhouselsa.com
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