Cybin Inc. (NYSE American: CYBN) (Cboe CA: CYBN) has announced a registered direct offering of 22,277,750 common shares and, in lieu of shares for certain investors, pre-funded common share purchase warrants at US$6.51 per share or pre-funded warrant, generating aggregate gross proceeds of approximately US$175 million. Each share or pre-funded warrant is accompanied by 0.35 of one common share purchase warrant exercisable at US$8.14 per share until the earlier of June 30, 2027, 30 days after topline data is released for the APPROACH trial of CYB003 in major depressive disorder, or 30 days after an acceleration notice if the NYSE American closing price equals or exceeds US$19.53 for five consecutive trading days.
The offering includes participation from new and existing investors, such as Venrock Healthcare Capital Partners, OrbiMed, Point72, Deep Track Capital, Acorn Bioventures, Spruce Street Capital, Squadron Capital Management, Adage Capital Partners LP, Boxer Capital Management, ADAR1 Capital Management, Stonepine Capital Management, Pivotal Bioventure Partners and Ally Bridge Group. The substantial capital raise underscores strong institutional interest in Cybin's pipeline of novel psychedelic-based therapeutics.
Cybin is a late-stage breakthrough neuropsychiatry company focused on developing next-generation treatments for mental health conditions. The company is advancing CYB003, a proprietary deuterated psilocin analog, in Phase 3 studies for the adjunctive treatment of major depressive disorder, which has received Breakthrough Therapy Designation from the U.S. Food and Drug Administration (FDA). Additionally, CYB004, a proprietary deuterated N,N-dimethyltryptamine molecule, is in a Phase 2 study for generalized anxiety disorder. The company also maintains a research pipeline of investigational 5-HT-receptor focused compounds.
The proceeds from this offering are expected to fund the continued development of Cybin's lead programs, including the pivotal Phase 3 trials for CYB003 and Phase 2 trials for CYB004, as well as general corporate purposes. According to the company, this financing positions Cybin to potentially bring novel treatments to market for the large unmet need in mental health care.
The offering was conducted as a registered direct offering, a structure that allows for efficient capital raising while providing investors with liquidity. The warrants attached to the offering offer additional upside potential based on the company's future clinical milestones and stock performance.
For more information about Cybin, visit the company's newsroom at https://ibn.fm/CYBN. The full press release can be accessed at https://ibn.fm/TPxvo.
