Aravive Announces $21.0 Million Registered Direct Offering with Eshelman Ventures, LLC Priced At-The-Market
February 16 2021 - 6:00AM
Aravive, Inc. (Nasdaq: ARAV), a clinical-stage oncology company
developing transformative therapeutics, today announced that it has
entered into a securities purchase agreement with Eshelman
Ventures, LLC to sell 2,875,000 shares of common stock at a price
of $7.29 per share in a registered direct offering. Aravive expects
to receive gross proceeds of approximately $21.0 million from this
offering. Eshelman Ventures, LLC is an entity wholly-owned by
Fredric N. Eshelman, Pharm.D., chairman of Aravive’s Board of
Directors.
"Dr. Eshelman’s support reinforces our confidence in the
potential of AVB-500 to address the unmet needs of patients with
ovarian and renal cancer,” said Gail McIntyre, Ph.D., chief
executive officer of Aravive. “We look forward to initiating the
pivotal Phase 3 registrational trial of AVB-500 in platinum
resistant ovarian cancer in the coming weeks and reporting on the
first interim analysis expected early next year.”
Proceeds from the registered direct offering will be used
primarily to continue clinical development of AVB-500 in platinum
resistant ovarian cancer and clear cell renal cell carcinoma, and
for general corporate purposes. The offering is expected to close
on or about February 18, 2021, subject to customary closing
conditions.
The shares of common stock are being offered pursuant to a shelf
registration statement on Form S-3 that was previously filed with
the U.S. Securities and Exchange Commission ("SEC") on September 4,
2020 and declared effective by the SEC on November 20, 2020. The
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.
This press release shall not constitute an offer to sell nor the
solicitation of an offer to buy, nor shall there be any sale of
securities 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 AraviveAravive, Inc. is a
clinical-stage oncology company developing transformative
therapeutics designed to halt the progression of life-threatening
diseases. Aravive is based in Houston, Texas and received a Product
Development Award from the Cancer Prevention & Research
Institute of Texas (CPRIT) in 2016. Aravive’s lead product
candidate, AVB-500, is an ultra-high affinity decoy protein that
targets the GAS6-AXL signaling pathway associated with tumor cell
growth. Aravive successfully completed a Phase 1b trial of AVB-500
in platinum resistant ovarian cancer and plans to initiate a
pivotal Phase 3 trial of AVB-500 at a dose of 15 mg/kg. While the
Phase 1b trial of AVB-500 in platinum resistant ovarian cancer was
a safety trial and not powered to demonstrate efficacy, all 5
patients in the 15 mg/kg cohort experienced clinical benefit, with
1 complete response, 2 partial responses, and 2 stable disease. The
Company has initiated and is recruiting for its Phase 1b/2 trial in
patients with clear cell renal cell carcinoma.
Forward-Looking StatementsThis communication
contains forward-looking statements within the meaning of the
Private Securities Litigation Reform Act of 1995. In some cases,
forward-looking statements can be identified by terminology such as
"may," "should," "potential," "continue," "expects," "anticipates,"
"intends," "plans," "believes," "estimates," and similar
expressions and includes statements regarding the timing, closing
and use of proceeds of the registered direct offering, the timing
of the initiation and reporting of the results of the pivotal Phase
3 registrational trial of AVB-500 in platinum resistant ovarian
cancer and the potential of AVB-500 to address the unmet needs of
patients with ovarian and renal cancer. Forward-looking statements
are based on current beliefs and assumptions, are not guarantees of
future performance and are subject to risks and uncertainties that
could cause actual results to differ materially from those
contained in any forward-looking statement as a result of various
factors, including, but not limited to, risks and uncertainties
related to: our ability to recruit patients for a Phase 1b/Phase 2
trial of AVB-500 in clear cell renal cell carcinoma as planned, our
ability to initiate a Phase 3 trial of AVB-500 in
platinum-resistant carcinoma as planned, the impact of COVID-19 on
the Company's clinical strategy, clinical trials, supply chain and
fundraising, the Company's ability to expand development into
additional oncology indications, the Company's dependence upon
AVB-500, AVB-500's ability to have favorable results in clinical
trials and ISTs, the clinical trials of AVB-500 having results that
are as favorable as those of preclinical and clinical trials, the
ability to receive regulatory approval, potential delays in the
Company's clinical trials due to regulatory requirements or
difficulty identifying qualified investigators or enrolling
patients especially in light of the COVID-19 pandemic; the risk
that AVB-500 may cause serious side effects or have properties that
delay or prevent regulatory approval or limit its commercial
potential; the risk that the Company may encounter difficulties in
manufacturing AVB-500; if AVB-500 is approved, risks associated
with its market acceptance, including pricing and reimbursement;
potential difficulties enforcing the Company's intellectual
property rights; the Company's reliance on its licensor of
intellectual property and financing needs. The foregoing review of
important factors that could cause actual events to differ from
expectations should not be construed as exhaustive and should be
read in conjunction with statements that are included herein and
elsewhere, including the risk factors included in the Company's
Annual Report on Form 10-K for the fiscal year ended December 31,
2019, recent Current Reports on Form 8-K and subsequent filings
with the SEC. Except as required by applicable law, the Company
undertakes no obligation to revise or update any forward-looking
statement, or to make any other forward-looking statements, whether
as a result of new information, future events or otherwise.
Contacts:Media:Sheryl Seapy,
W2Osseapy@w2ogroup.com(949) 903-4750
Investors:Luke Heagle, W2O lheagle@w2ogroup.com (910)
726-1372
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