ATLANTA - Virios Therapeutics, Inc. (NASDAQ: VIRI), a biotech company specializing in antiviral therapies for chronic diseases, announced today its plan to offer up to $2.1 million in shares of its common stock to the public. The company aims to fund preparatory activities for an upcoming Phase 2b study on Long-COVID (LC) and support general corporate functions.
The offering's completion is contingent on market conditions, and there is no certainty regarding the timing or terms of the sale. Maxim (NASDAQ:MXIM) Group LLC will serve as the sole placement agent on a "reasonable best-efforts" basis.
This move follows an effective shelf registration statement on Form S-3 filed with the U.S. Securities and Exchange Commission (SEC) on March 18, 2022, and declared effective on April 28, 2022. The offering will be made through a prospectus and a preliminary prospectus supplement, both filed with the SEC and available on its website.
Virios Therapeutics focuses on developing therapies to address diseases triggered by a viral-induced abnormal immune response, such as fibromyalgia (FM) and LC. The company's lead candidates are proprietary combinations of antiviral compounds and celecoxib, which aim to suppress herpesvirus replication and alleviate disease symptoms. The FDA has granted fast track designation to their IMC-1 candidate, a fixed-dose combination of famciclovir and celecoxib.
Virios Therapeutics has not provided guidance on the offering's expected timing or size, and the securities may not be sold in jurisdictions where such an offering would be prohibited without proper registration or qualification under local securities laws. The information in this article is based on a press release statement from Virios Therapeutics.
InvestingPro Insights
As Virios Therapeutics, Inc. (NASDAQ: VIRI) embarks on its public offering to support its clinical studies and general corporate functions, the company's financial metrics provide a snapshot of its current market position. According to InvestingPro data, Virios Therapeutics has a market capitalization of $6.8 million and is navigating through challenging financial waters with a negative P/E ratio of -1.32, reflecting its lack of profitability in the last twelve months as of Q1 2024.
The company's stock has experienced significant volatility, with an 8.76% return over the last week, yet it has taken a substantial hit over the last six months, showing a -47.77% return. This may concern potential investors considering the stock's performance and the company's financial health. Analysts, as per InvestingPro Tips, do not anticipate Virios Therapeutics to be profitable this year, and net income is expected to drop. This aligns with the broader trend observed in the stock's price, which is currently at 14.59% of its 52-week high.
Investors interested in the more nuanced aspects of Virios Therapeutics' financial outlook can find additional insights on InvestingPro, which lists 6 more InvestingPro Tips for a deeper analysis. These tips could provide valuable context for the company's strategic moves and potential investment risks or opportunities. For those considering a subscription, use the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription.
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