The shares of vTv Therapeutics Inc. (NASDAQ: VTVT) have experienced a notable surge this morning. Thia marked a significant increase of 153.26% in vTv stock to reach $21.02 per share, as verified in the current session. This uptrend in VTVT stock value coincides with the finalization of a financial operation.
VTVT Therapeutics (VTVT) has completed a private offering with Samsara BioCapital, LLC (“Samsara”), a firm specializing in life sciences investments, along with the JDRF T1D Fund. On January 29, 2024, VTVT offered 464,377 shares of its common stock at a price of $11.81 per share, based on the 45-day Volume Weighted Average Price (VWAP).
Furthermore, the private placement offering involved the purchase of warrants equivalent to 3,853,997 shares of common stock. A total of $51 million was generated from the PIPE. Also, in conjunction with the PIPE, vTv reduced the size of its Board of Directors from nine to seven members.
Among the reconstituted board, three members will be appointed by the new investors, including Srinivas Akkaraju, MD, PhD, who serves as the Founder and Managing General Partner at Samsara. These strategic maneuvers aim to provide impetus to vTv’s pursuit, with the allocated funds intended to facilitate the commencement of the initial Phase 3 trial for its flagship product candidate, cadisegliatin, projected to begin in the middle of 2024.
The company is poised to attract further investments of commendable quality as it readies itself for the inaugural Phase 3 trial of cadisegliatin. The resources amassed through the PIPE are anticipated to sustain vTv’s operations until the unveiling of topline data from the pivotal Phase 3 study of cadisegliatin, representing a significant milestone for the company.
Having monitored vTv’s progress over an extended period, Samsara possesses an intimate understanding of cadisegliatin and harbors strong conviction regarding its potential to deliver substantial benefits to individuals grappling with T1D. Samsara pledges close collaboration with the VTVT Board and its team, offering guidance to propel the continued advancement of this highly promising initiative as it progresses towards Phase 3 development.
