Grace Therapeutics has announced the initial closure of a financing round, securing almost $15m, to fund the pre-commercial development of GTx-104.
The company expects to raise up to $30m in total gross proceeds.
Led by Nantahala Capital and ADAR1 Partners, the funding round also includes participation from new and current healthcare-focused institutional investors such as Stonepine Capital Management.
Grace has entered into securities purchase agreements with these investors, which will see the issuance of 4.4 million shares of common stock or pre-funded warrants, alongside common warrants to purchase additional shares.
Every common warrant, exercisable at $3.395 per share, will become effective immediately and will expire on whichever is earlier: 60 days post-US Food and Drug Administration (FDA) approval of the new drug application (NDA) for GTx-104, or 25 September 2028.
If exercised in full, Grace could receive an additional $15m.
The upfront net proceeds from this private placement will also be allocated for general corporate purposes.
The injectable formulation of nimodipine is in clinical stages, being developed for IV infusions in patients with aneurysmal subarachnoid haemorrhage (aSAH), a type of stroke caused by the rupture of an aneurysm in the brain, which represents about 5% of all strokes.
TD Cowen is serving as the placement agent for the private placement, while Craig-Hallum is acting as a financial advisor to Grace.
Formerly known as Acasti Pharma, Grace is focused on developing drugs for rare and orphan conditions.
In February 2025, Grace reported that its Phase III STRIVE-ON safety clinical trial of GTx-104 met its primary endpoint and provided clinical benefit evidence over nimodipine which is orally administered.
