Annovis Bio Inc. plans to offer 1,428,571 common shares in its IPO on the NYSE American to raise up to $11.5 million in gross proceeds.
The Berwyn, Pa.-based company has applied to list its shares under the symbol ANVS and expects the per-share price for the offering to be between $6 and $8. It has also granted the underwriters an overallotment option to buy up to an additional 214,285 shares.
Annovis is developing products to address chronic and acute neurodegeneration, including Alzheimer's disease in Down syndrome, Alzheimer's disease and Parkinson's disease.
The company expects net proceeds from the IPO to be about $8.6 million, or $9.9 million if the underwriters fully exercise their overallotment option, assuming a per-share offering price of $7.
Annovis plans to use the proceeds to initiate and fund the costs of an early-stage Parkinson's study in the first quarter of 2020, for the continuing phase 2a study of its experimental drug ANVS-401 in Alzheimer's disease patients in the U.S. and for the planning of a late-stage study to treat memory loss and dementia in Down syndrome.
The company said it would use $700,000 of the proceeds for its payments related to a licensing deal with Horizon Therapeutics PLC, under which Annovis has a worldwide exclusive license to ANVS-401 and its analogs.
Annovis plans to use any remaining proceeds for general and administrative expenses and research and development, as well as to provide sufficient liquidity until the company raises additional capital for its late-stage studies in Alzheimer's disease in Down syndrome and Parkinson's disease.
ThinkEquity is the underwriter for the IPO.
