VYNE Therapeutics Inc. (NASDAQ:VYNE) has successfully secured an $88 million Private Investment in Public Equity (PIPE) deal, led by Access Biotechnology. The funds will be used to advance its InhiBET platform and clinical programs for VYN201 and VYN202. The deal was announced today and is expected to close on November 1, 2023.
The funding will support the Phase 2b trial for VYN201, which showed promising results in treating nonsegmental vitiligo in its Phase 1b trial. The investment will also aid in conducting Phase 1 trials for VYN202, a BD2-selective Bromodomain and Extra-Terminal motif (BET) inhibitor.
As part of the agreement, VYNE is selling 10,652,543 shares at $2.245 each. Additionally, pre-funded warrants are being issued that are immediately exercisable at $0.0001 per share to purchase up to 28,614,437 shares at $2.2449 each. This arrangement meets Nasdaq's Minimum Price requirement.
The PIPE deal represents a significant milestone for VYNE Therapeutics as it provides the necessary capital to further its research and development initiatives. The company's InhiBET platform is a key focus, with the aim of developing innovative treatments for conditions such as nonsegmental vitiligo.
InvestingPro Insights
While VYNE Therapeutics Inc. is making strides in securing funding for its clinical programs, it's crucial for potential investors to consider some key metrics and insights. According to InvestingPro's real-time data, VYNE has a market cap of $7.36 million and a negative P/E ratio of -0.21, indicating the company is not currently profitable. The company's revenue growth for the last twelve months as of Q2 2023 is -42.68%, indicating a decrease in earnings.
On the other hand, InvestingPro Tips highlight that VYNE holds more cash than debt on its balance sheet and its liquid assets exceed short-term obligations, which could be seen as a positive sign for its financial stability. However, the stock has taken a significant hit over the last week, month, and three months, and the analysts do not anticipate the company will be profitable this year.
For more detailed insights and tips, consider subscribing to the InvestingPro service which provides access to a total of 13 invaluable tips for VYNE and many other companies.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.