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Revelation Biosciences Inc. Announces Closing of $6.2 Million Public Offering

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Revelation Biosciences Inc. announced the closing of a public offering, raising approximately $6.2 million. The company plans to use the net proceeds for the development of various clinical studies and products, as well as for working capital and general corporate purposes.
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The recent public offering by Revelation Biosciences Inc. is a significant event that merits attention from a financial perspective. The company's decision to issue both common stock and pre-funded warrants, along with additional warrants to purchase more shares, is a strategic move to secure funding. With a gross proceeds of approximately $6.2 million, it's essential to evaluate the company's valuation and the dilutive impact on existing shareholders. The offering price of $4.53 per share and associated warrant and the $4.5299 per pre-funded warrant, provide a benchmark for current and potential investors to assess the attractiveness of the investment relative to the company's prospects.

Furthermore, the intended use of the net proceeds for the development of their clinical studies and preclinical work indicates a clear direction for the company's growth strategy. The allocation of funds towards GEM-SSI, GEM-AKI and GEM-CKD studies, as well as other products and therapies, suggests a focus on expanding their pipeline, which could potentially enhance their market position and lead to long-term value creation. The exercise price of the warrants being equal to the offering price also suggests a confidence in the stock's potential to maintain or increase its value over the five-year period before the warrants expire.

From a medical research standpoint, the allocation of Revelation Biosciences Inc.'s fundraising towards advancing their GEM-SSI, GEM-AKI and GEM-CKD programs is noteworthy. These programs represent significant potential in the prevention and treatment of surgical site infections (SSI), acute kidney injury (AKI) due to cardiac surgery and chronic kidney disease (CKD), respectively. The investment in a combined Phase 1a clinical study for GEM-SSI and GEM-AKI, as well as a Phase 1b study for GEM-SSI in colorectal surgery, is particularly important for investors to consider.

The progression of these studies into clinical phases indicates a transition from theoretical research to practical application, which could lead to eventual FDA approval and market entry. It's crucial to monitor the outcomes of these trials, as positive results could significantly impact the company's value and position it as a leader in these therapeutic areas. Additionally, preclinical work for GEM-CKD suggests a strategic expansion into chronic conditions, which often have a larger patient base and longer-term treatment regimens, potentially leading to sustained revenue streams.

Assessing the market implications of Revelation Biosciences Inc.'s recent capital raise, it is important to consider the competitive landscape and the demand for innovative treatments in the areas of SSI, AKI and CKD. The successful closing of the public offering indicates investor confidence in the company's research direction and market potential. The specificity of their intended use of proceeds reflects a targeted approach to address unmet medical needs, which can be a strong driver for market penetration and adoption.

Moreover, the partnership with Roth Capital Partners as the sole placement agent highlights the role of experienced financial institutions in facilitating biotech companies' access to capital markets. This collaboration could provide strategic advantages in terms of investor outreach and credibility. Investors should be aware of the company's milestones and the anticipated timelines for the clinical studies, as these will be critical in determining the success of the investment and the potential market impact of the therapies being developed.

SAN DIEGO--(BUSINESS WIRE)-- Revelation Biosciences Inc. (NASDAQ: REVB) (the “Company” or “Revelation”), a life sciences company that is focused on harnessing the power of trained immunity for the prevention and treatment of disease, today announced the closing on February 5, 2024 of its previously announced public offering of 128,470 shares of its common stock and 1,236,530 pre-funded warrants to purchase shares of common stock, together with warrants to purchase up to 2,730,000 shares of its common stock at an offering price to the public of $4.53 per share and associated warrant, or $4.5299 per pre-funded warrant and associated warrant. The warrants have an exercise price of $4.53 per share, are exercisable upon issuance, and will expire five years following the date of issuance.

Roth Capital Partners acted as sole placement agent for the offering.

The gross proceeds to the Company from the offering are approximately $6.2 million, before deducting the placement agent’s fees and other offering expenses payable by Revelation. The Company intends to use the net proceeds from this offering to further the development of GEM-SSI, GEM-AKI and GEM-CKD including (i) a combined Phase 1a clinical study for GEM-SSI and GEM-AKI, (ii) a Phase 1b clinical study for GEM-SSI for the prevention of surgical site infection in colorectal surgery, (iii) a Phase 1b clinical study for GEM-AKI for the prevention and treatment of AKI due to cardiac surgery, (iv) necessary preclinical work for GEM-CKD, (v) continue to develop other products and therapies, and (vi) fund working capital and general corporate purposes using any remaining amounts.

The securities described above are being offered pursuant to a registration statement on Form S-1 (File No. 333-276232), as amended, that was declared effective by the U.S. Securities and Exchange Commission (“SEC”), on January 31, 2024. The offering is being made solely by means of a prospectus. Copies of the accompanying prospectus relating to and describing the terms of the offering may be obtained, when available, at the SEC’s website at www.sec.gov or by contacting Roth Capital Partners, LLC, 888 San Clemente Drive, Suite 400, Newport Beach, CA 92660 or by email at rothecm@roth.com.

This press release does not constitute an offer to sell or the solicitation of an offer to buy any of the securities described herein, nor shall there be any sale of these securities in any state or other jurisdiction in which such an offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or other jurisdiction.

About Revelation Biosciences Inc.

Revelation Biosciences, Inc. is a life sciences company focused on harnessing the power of trained immunity for the prevention and treatment of disease using its proprietary formulation, Gemini. Revelation has multiple ongoing programs to evaluate Gemini, including GEMINI-SSI as a prevention for hospital acquired infection, GEMINI-AKI as a prevention for acute kidney injury, and GEMINI-CKD for the treatment of chronic kidney disease.

For more information on Revelation, please visit www.RevBiosciences.com.

Forward-Looking Statements

This press release contains forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995, as amended. Forward-looking statements are statements that are not historical facts. These forward-looking statements are generally identified by the words "anticipate," "believe," "expect," "estimate," "plan," "outlook," and "project" and other similar expressions. We caution investors that forward-looking statements are based on management’s expectations and are only predictions or statements of current expectations and involve known and unknown risks, uncertainties and other factors that may cause actual results to be materially different from those anticipated by the forward-looking statements. Revelation cautions readers not to place undue reliance on any such forward-looking statements, which speak only as of the date they were made. The following factors, among others, could cause actual results to differ materially from those described in these forward-looking statements: the ability of Revelation to meet its financial and strategic goals, due to, among other things, competition; the ability of Revelation to grow and manage growth profitability and retain its key employees; the possibility that Revelation may be adversely affected by other economic, business, and/or competitive factors; risks relating to the successful development of Revelation’s product candidates; the ability to successfully complete planned clinical studies of its product candidates; the risk that we may not fully enroll our clinical studies or enrollment will take longer than expected; risks relating to the occurrence of adverse safety events and/or unexpected concerns that may arise from data or analysis from our clinical studies; changes in applicable laws or regulations; expected initiation of the clinical studies, the timing of clinical data; the outcome of the clinical data, including whether the results of such study is positive or whether it can be replicated; the outcome of data collected, including whether the results of such data and/or correlation can be replicated; the timing, costs, conduct and outcome of our other clinical studies; the anticipated treatment of future clinical data by the FDA, the EMA or other regulatory authorities, including whether such data will be sufficient for approval; the success of future development activities for its product candidates; potential indications for which product candidates may be developed; the ability of Revelation to maintain the listing of its securities on NASDAQ; the expected duration over which Revelation’s balances will fund its operations; and other risks and uncertainties described herein, as well as those risks and uncertainties discussed from time to time in other reports and other public filings with the SEC by Revelation.

Sandra Vedrick

Vice President, Investor Relations & Human Resources

Revelation Biosciences Inc.

Email: svedrick@revbiosciences.com

and

Chester Zygmont, III

Chief Financial Officer

Revelation Biosciences Inc.

Email: czygmont@revbiosciences.com

Source: Revelation Biosciences Inc.

The ticker symbol for Revelation Biosciences Inc. is REVB.

The gross proceeds to the Company from the offering are approximately $6.2 million.

The company intends to use the net proceeds from this offering to further the development of GEM-SSI, GEM-AKI and GEM-CKD, as well as fund working capital and general corporate purposes.

Roth Capital Partners acted as the sole placement agent for the offering.

The warrants have an exercise price of $4.53 per share.
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