ARYx Therapeutics will receive approximately $21.6 million in gross proceeds pursuant to the terms of a securities purchase agreement. The company hopes that the funding puts it in a better place for product partnerships. ARYx currently has three compounds in Phase II trials and one in Phase I.
The deal calls for the sale of 9,649,545 shares and the issuance of warrants for the purchase of 2,894,864 additional shares of its common stock with an exercise price of $2.64 per share and a term of five years from the closing date. Aryx opened today at $2.66.
The combined purchase price of a share of ARYx’ common stock and a warrant to purchase 0.30 of a share of ARYx’ common stock is $2.2375. The private placement was led by new investor New Enterprise Associates with participation from significant existing shareholders including MPM Capital and OrbiMed Advisors.
ARYx is evaluating an oral anticoagulant agent for patients at risk for the formation of dangerous blood clots, an oral antiarrhythmic agent for the treatment of atrial fibrillation, a prokinetic agent for the treatment of various gastrointestinal disorders, and an agent for the treatment of schizophrenia and other psychiatric disorders. The company uses its RetroMetabolic Drug Design technology to create structurally unique molecules that retain the efficacy of established drugs on the market but are metabolized through a potentially safer pathway to avoid specific adverse side effects.