BERWYN, Pa. - Virpax® Pharmaceuticals, Inc. (NASDAQ: VRPX), which specializes in developing non-addictive pain management and other pharmaceutical products, has priced a public offering that aims to raise approximately $2.25 million.
The offering includes 1,666,667 shares of common stock or equivalents, along with Series A-1 and Series A-2 common warrants to purchase up to an equal number of shares. Each share and associated warrants are being offered at a combined price of $1.35.
The Series A-1 warrants, which are exercisable immediately at $1.35 per share, will expire five years post-issuance. The Series A-2 warrants, also exercisable immediately, will expire eighteen months from their issue date. The closing of the offering is anticipated on or about May 17, 2024, subject to standard closing conditions.
A.G.P./Alliance Global Partners (NYSE:GLP) is serving as the exclusive placement agent for the transaction. The securities are being offered under a registration statement that became effective on May 14, 2024. Interested parties can access the preliminary prospectus on the SEC’s website.
Virpax is known for its development of proprietary drug delivery systems aimed at enhancing medication efficacy for pain management, CNS disorders, and anti-viral treatments. The company is currently working towards FDA approval for several prescription drug candidates, including Probudur™ for post-operative pain and Envelta™ for managing acute and chronic pain.
Additionally, Virpax is developing nonprescription products such as AnQlar for inhibiting viral replication and Epoladerm™, a topical treatment for osteoarthritis pain.
This news article is based on a press release statement from Virpax Pharmaceuticals, Inc.
InvestingPro Insights
In light of Virpax® Pharmaceuticals' recent public offering, current metrics from InvestingPro provide a snapshot of the company's financial health and stock performance. As of the last twelve months ending Q4 2023, Virpax holds a market capitalization of $2.68 million USD, reflecting the scale of the company in the pharmaceutical industry. Despite aiming to raise capital through its public offering, the company's financial data shows an operating loss of $12.94 million USD, which is indicative of the challenges it faces in reaching profitability.
InvestingPro Tips suggest that Virpax has more cash than debt on its balance sheet, which is a positive sign for potential investors considering the company's financial stability. However, the company suffers from weak gross profit margins and has not been profitable over the last twelve months. Additionally, the stock price has experienced significant volatility, with a price total return of -73.38% over the last year, highlighting the risks associated with investing in the stock.
For investors interested in a deeper dive into Virpax's performance and potential, there are additional InvestingPro Tips available. These tips provide insight into aspects such as stock price movements, profitability, and dividend payouts. To access these insights and make informed investment decisions, use coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription at InvestingPro. As of now, there are a total of 8 InvestingPro Tips available for Virpax, which can offer a more comprehensive understanding of the company's prospects.
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