To Raise $7Mln
As part of its efforts to expedite the drug development process, the company is all set to raise capital from the public market. As per a revised SEC filing, Cadrenal plans to offer 1.4 million shares in an initial public offering that is tentatively scheduled to be held later this month. Earlier, it had revealed plans to offer around 2 million shares. The estimated offering price is $5 per share, which will yield total proceeds of about $7 million.
Proceeds
Funds raised through the offering will be used mainly for research & development as well as for meeting expenses related to the preparation of clinical trials. A part of the proceeds will be used for working capital and general corporate purposes, including the acquisition or licensing of other products, businesses, or technologies.
Once approved by the Securities and Exchange Commission, the stock will list on the Nasdaq Capital Market under the symbol CVKD. Boustead Securities and Sutter Securities will act as book-runners for the offering.
IPO Alert: MGO Global prepares to go public. Here’s what you need to know
Therapies that are currently available for atrial fibrillation and end-stage renal disease have side effects, which is an area Cadrenal looks to capitalize on. The company looks to hold phase-III trial on its lead candidate tecarfarin — which is considered more effective and safer than the existing treatments — in the fourth quarter of 2023.
Financial Performance
Like most early-stage biopharma companies, Cadrenal has not generated revenues yet as it does not have any marketable products. In the eight months that ended in September 2022, since its inception, the company incurred a net loss of about $1.7 million or $0.22 per share, mainly reflecting the general & administrative and research & development expenses.