New Haven-based Biohaven Ltd. said Tuesday it expects to raise about $125 million via the sale of common shares to Janus Henderson Investors.
In a filing with the U.S. Securities and Exchange Commission, the biopharmaceutical firm said it agreed to issue and sell 12.5 million common shares to Janus Henderson Investors at $10 per share. The company said it expects to receive $125 million in gross proceeds upon settlement, before deducting fees and other expenses.
The common shares are being issued as a block transaction under Biohaven’s “at-the-market” offering program, which it registered with the SEC on Oct. 2, 2023.
The sale of the common shares comes about two months after Biohaven said it had raised about $200 million via a separate underwritten public offering of its common shares in November.
The latest fundraising also follows the company reporting on Dec. 24 that a midphase study of BHV-7000 for the treatment of major depressive disorder (MDD) had failed.
In the study, Biohaven tested BHV-7000 to see if it could help people with major depression. The study was an early-stage clinical trial meant to see whether the drug showed enough promise to move forward.
Overall, the drug did not work better than a placebo at reducing depression symptoms over six weeks, as measured on the Montgomery-Åsberg Depression Rating Scale.
However, for certain groups of patients — especially those who began the study with more severe depression — researchers saw signs that BHV-7000 may have helped some of them more than the placebo, indicating the study may have shown some benefit for people with more serious symptoms.
Biohaven said it is conducting additional analyses and it plans to present the results at an upcoming scientific meeting.
Biohaven Ltd. is the company that remained after the original Biohaven sold its migraine therapeutic assets to pharmaceutical giant Pfizer Inc. in 2022, in a deal valued at $13 billion.
It is focused on three main drugs: one designed to calm overactive brain activity in conditions like epilepsy and depression; one that targets harmful immune-system proteins involved in diseases such as IgA nephropathy and Graves’ disease; and one that aims to help people with muscle-wasting or obesity by blocking a natural signal that limits muscle growth.
