MetaVia Announces $10M Private Placement for Obesity Drug Development

MetaVia Inc. has announced a private placement that is expected to raise approximately $10.0 million. The company plans to use the net proceeds for working capital and corporate purposes, including the clinical development of DA-1726 for obesity treatment. The offering includes the purchase of 9.5 million shares of common stock and 4.6 million pre-funded warrants.

MetaVia Inc. (NASDAQ: MTVA), a clinical-stage biotechnology company focused on transforming cardiometabolic diseases, has announced a private placement that is expected to raise approximately $10.0 million. The company plans to use the net proceeds for working capital and corporate purposes, including the clinical development of DA-1726, a novel oxyntomodulin (OXM) analogue for the treatment of obesity [1].

The offering includes the purchase of 9,479,345 shares of MetaVia's common stock at a price of $0.71 per share, and 4,605,162 pre-funded warrants to purchase shares of MetaVia's common stock at a price of $0.709 per pre-funded warrant. The pre-funded warrants have an exercise price of $0.001 per pre-funded warrant and will be exercisable beginning on the effective date of receiving stockholder approval for the shares of MetaVia's common stock issuable upon exercise of the pre-funded warrants [1].

The private placement was priced at-the-market under Nasdaq rules and is expected to close on or about May 12, 2025, subject to customary closing conditions. The securities are being offered to certain institutional accredited investors under Section 4(a)(2) of the Securities Act of 1933, as amended, and Rule 506(b) of Regulation D promulgated thereunder [1].

MetaVia has agreed to file a registration statement with the Securities and Exchange Commission (SEC) covering the resale of the shares of MetaVia common stock issued and underlying the pre-funded warrants in the private placement and to obtain stockholder approval for the shares of MetaVia common stock underlying the pre-funded warrants issued in the private placement [1].

Ladenburg Thalmann & Co. Inc. is acting as the exclusive placement agent for the offering [1].

This press release shall not constitute an offer to sell or a solicitation of an offer to buy any of the securities described herein, nor shall there be any sale of these securities in any state or other jurisdiction in which such offer, solicitation or sale would be unlawful prior to the registration or qualification under the securities laws of any such state or other jurisdiction [1].

References:
[1] https://www.marketscreener.com/quote/stock/METAVIA-INC-28734724/news/MetaVia-Announces-10-0-Million-Private-Placement-Priced-At-The-Market-under-Nasdaq-Rules-49893533/