RALEIGH — A Raleigh-based pharmaceutical company raised $18.2 million as part of its reverse merger, according to a filing Monday with the Securities and Exchange Commission.
Innovate Biopharmaceuticals Inc. raised the money through 168 investors, according to the filing.
The company did not say how the money would be used.
The $18.1 million was new money. Before the reverse merger, the company raised $9.2 million from the conversion of debt. It has also issued $5.3 million in warrants that have not yet been exercised.
The clinical stage biotechnology company raised $1.45 million in December and $1 million in May as part of the convertible not debt.
Innovate Pharmaceuticals, founded in 2014, focuses on developing gastroenterology medicines specifically for autoimmune and inflammatory diseases. It owns more than 150 patents worldwide.
CEO Christopher Prior founded and led BioRexis Pharmaceuticals, a biopharmaceutical company acquired by Pfizer Inc. in 2007. He also founded Principia Pharmaceuticals. Prior joined Innovate in 2015 as the chief executive officer.
The company’s stock closed at $3.53 per share Monday, up 1 cent.
(Note: This story has been updated and corrected.)
This story is from the North Carolina Business News Wire, a service of the UNC-Chapel Hill School of Media and Journalism
