PaxMedica announces public offering at $1.30 per share and warrant

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PaxMedica Inc., a clinical-stage biopharmaceutical company, has announced the pricing of its public offering of shares and warrants. The NASDAQ-listed firm, trading under the ticker PXMD, is offering more than 5 million shares and equivalent warrants at a price of $1.30 each, with both shares and warrants exercisable immediately upon issuance. The warrants will be valid for five years from the exercise date.

The offering is being facilitated by H.C. Wainwright & Co., serving as the exclusive placement agent, with a projected finalization date set for Wednesday, November 22, 2023, around midnight UTC. This strategic move is aimed at raising capital to advance PaxMedica's drug development program, which focuses on anti-purinergic therapies (APTs) for neurological disorders such as Autism Spectrum Disorder (ASD) and Human African Trypanosomiasis (HAT).

Central to PaxMedica's efforts is PAX-101, an intravenous suramin formulation that represents a significant advancement in therapies for patients with ASD and HAT. The company is also exploring the potential applicability of PAX-101 to related neurological conditions as part of its APT-focused strategy.

PaxMedica leverages a specialized communications platform to engage with investors across various market sectors and demographics, ensuring stakeholders are kept informed about the company's ongoing research efforts and developments in additional therapeutic areas.

InvestingPro Insights

According to real-time data from InvestingPro, PaxMedica Inc. has shown a promising performance in the biopharmaceutical sector. The company's shares have exhibited a steady upward trend in the last twelve months as of Q1 2023, reflecting investor confidence in its drug development program. In addition, the company's revenue growth rate, a key metric in evaluating a firm's potential for long-term success, has been impressive, indicating that PaxMedica is effectively capitalizing on its market opportunities.

InvestingPro Tips highlight two crucial aspects for potential investors. First, the successful pricing of PaxMedica's public offering of shares and warrants could signify a strong market interest in the company's APT-focused strategy, potentially leading to increased investment. Second, PaxMedica's specialized communication platform for investor engagement underscores the company's commitment to transparency, a quality highly valued by investors.

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