Better Therapeutics, a prescription digital therapeutics firm, introduced a non-public placement of the corporate’s frequent inventory, which garnered gross proceeds of roughly $6.5 million.
Officers and administrators of the corporate participated within the placement, which is predicted to shut on or round April 10.
Higher Therapeutics was among the many many digital well being firms that went public by merging with a particular objective acquisition firm in 2021. It debuted at a stock price of round $10 per share. On April 5, on the time of the personal placement, the corporate’s inventory was $0.825 per share.
WHAT IT DOES
The California-based firm gives cognitive behavioral remedy to deal with diabetes, hypertension and different cardiometabolic illnesses.
The proceeds will probably be used to increase the corporate’s runway by its meant FDA advertising and marketing authorization for its BT-001 investigational prescription digital therapeutic for Sort 2 diabetes.
Per the submitting, the corporate anticipated to incur roughly $400,000 in cash-related bills as a result of severance and advantages in Q2 2023.
In an e-mail notifying staff of the workforce discount, Higher Therapeutics’ CEO Frank Karbe stated the corporate was “implementing different price financial savings measures” to increase its monetary runway additional.
The corporate has struggled to succeed in profitability since going public as a SPAC. In its most up-to-date Q4 2022 and full year 2022 monetary outcomes, the corporate reported a web lack of $39.8 million for 2022 in comparison with $40.3 million in 2021.
The corporate expects its working money burn for 2023 to be decrease than anticipated by roughly $10 million as a result of restructuring and different price financial savings measures. It famous it was actively in search of further capital.
Monique Mansoura will supply extra element throughout the HIMSS23 session “Leveraging Digital Well being and Actual-World Information to Handle Rising Well being Threads and International Well being Safety.” It’s scheduled for Wednesday, April 19, from 2:30-4 p.m. CT in MITRE Assembly Room N227B, North Corridor B.