- Achieve Life Sciences (ACHV, Financial) closes a public offering, raising $45.0 million in gross proceeds.
- The offering includes 15 million shares of common stock and warrants to purchase up to 16.77 million additional shares.
- Proceeds will advance cytisinicline towards potential FDA approval and support corporate operations.
Achieve Life Sciences, Inc. (ACHV), a late-stage pharmaceutical company focused on nicotine dependence treatment through cytisinicline, has completed a successful public offering. The company has raised $45.0 million in gross proceeds through the sale of 15 million shares of common stock and accompanying warrants, priced at $3.00 per share and warrant. This capital will be pivotal in advancing cytisinicline through the final stages of FDA marketing approval.
The offering also included warrants to purchase up to 16,766,666 additional shares, indicating strong market demand. Underwriters partially exercised their option, purchasing an additional 1,766,666 shares. Citizens Capital Markets and Raymond James served as the joint book-running managers, while Lake Street Capital Markets acted as the financial advisor for the transaction.
The funds raised will largely be directed toward securing FDA marketing approval for cytisinicline, as well as for general working capital and corporate purposes. This is crucial for Achieve Life Sciences as it prepares for potential commercialization of its smoking cessation treatment. The financing is structured to provide the company with adequate resources to reach this regulatory milestone, although it may lead to significant dilution for existing shareholders.
Cytisinicline presents a promising treatment avenue in addressing the global issue of smoking and nicotine dependence. With no FDA-approved treatments available for e-cigarette cessation, Achieve Life Sciences is charting a path that could potentially fill this gap in the market.
