Cingulate, a Phase 3-ready biotech developing formulations of stimulant drugs for ADHD, raised $25 million by offering 4.2 million units at $6, the low end of the downwardly revised range of $6 to $8. The company offered 0.6 million more units than anticipated. Each unit consists of one share of common stock and one warrant, exercisable at $6. Because the offering contained warrants, Cingulate will be excluded from Renaissance Capital's stats.
The company originally planned to offer 4.5 million shares at a range of $10 to $12, before lowering the offering to 4.4 million shares at $8 to $10 in October. It further lowered the proposed deal size in November to 3.6 million shares at $6 to $8, and added warrants to the offering later that month.
Cingulate is using its proprietary Precision Timed Release (PTR) drug delivery platform technology to build and advance a pipeline of next-generation pharmaceuticals designed for patients suffering from frequently diagnosed conditions characterized by burdensome daily dosing regimens and suboptimal treatment outcomes. The company is initially focusing its efforts on the treatment of Attention Deficit/Hyperactivity Disorder (ADHD), and initially targeting the ADHD stimulant-based treatment market. Cingulate's two candidates, CTx-1301 (dexmethylphenidate) and CTx-1302 (dextroamphetamine), are being developed for the treatment of ADHD. The company announced positive results from a Phase 1/2 study of CTx-1301 in ADHD patients in October 2020, and it plans to initiate Phase 3 trials in early 2022 with results expected in early 2023.
Cingulate plans to list on the Nasdaq under the symbol CING. Aegis Capital Corp. and Laidlaw & Company (UK) acted as joint bookrunners on the deal.
