RADNOR, Pa., November 7, 2022 /PRNewswire/ — NRx Pharmaceuticals, Inc. (Nasdaq: NRXP) (“NRx Pharmaceuticals” or the “Company”), a clinical-stage CNS biopharmaceutical company, today announced that it has obtained approximately $11 million in connection with an unsecured debt financing (the “Note”) of Streeterville Capital, LLC, a Utah limited liability company. The Company intends to use the net proceeds of the note (approximately $10 million) to support its NRX-101 development programs for the treatment of suicidal bipolar depression and PTSD and for general corporate purposes.
“Someone tries to kill themselves every 27 seconds. United States and the only approved treatment for suicidal bipolar depression remains electroconvulsive therapy. We are delighted that Streeterville Capital has recognized the extraordinary potential of NRX-101, conveniently administered as an oral drug, to target the unmet medical needs of this patient population. This funding, along with our available cash, will support the Phase 3 trial outlined in our special protocol agreement with the U.S. Food and Drug Administration targeting patients with bipolar depression and acute suicidal ideation,” said Stephen WillardCEO of NRx Pharmaceuticals.
The Note bears an interest rate of 9% per annum and has a maturity date of 18 months. The Company has the option to prepay the note during the term by paying an amount equal to 110% of the principal, interest and fees due on the date of prepayment. The Holder has the right to reimburse up to $1,000,000 of the unpaid balance of the Note per month from 6 months after the date of issue. Payments may be made by the Company, at its option, in: (i) cash, (ii) shares of our common stock, or (iii) a combination of cash and shares of our common stock. The right of the Company to satisfy the redemption amount in ordinary shares is subject to certain conditions. Additional details regarding the purchase and terms of the Notes can be found in the company’s current report on Form 8-K on file with the Securities and Exchange Commission.
This press release does not constitute an offer to sell or the solicitation of an offer to buy, and there will be no sale of these securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the titles. laws of that jurisdiction.
About NRx Pharmaceuticals, Inc.
Clinical-stage biopharmaceutical company developing therapeutics for the treatment of central nervous system disorders, particularly suicidal depression and post-traumatic stress disorder (PTSD). The company’s lead program, NRX-101, an oral fixed-dose combination of D-cycloserine and lurasidone, targets the brain’s NMDA receptor and is undergoing a Phase 3 trial under an agreement Special FDA Protocol and Breakthrough Therapy Designation in Bipolar Patients. depression and suicidal thoughts, an indication for which the only authorized treatment is electroconvulsive therapy. NRx Pharmaceuticals has also launched a Phase 2b clinical trial in patients with subacute suicidality, a considerably broader indication. The Breakthrough Therapy designation and Special Protocol Agreement was awarded by the FDA based on the company’s prior STABIL-B trial which demonstrated substantial improvement over available therapy in reducing depression and suicidal tendencies compared to placebo when patients were treated with NRX-101 after a single dose of ketamine.
Caution Regarding Forward-Looking Statements
This announcement by NRx Pharmaceuticals, Inc. includes “forward-looking statements” within the meaning of the “safe harbor” provisions of the United States Private Securities Litigation Reform Act of 1995, which may include, but are not limited to, statements about our financial situation. outlook, product development, business prospects, and market and industry trends and conditions; and the Company’s strategies, plans, objectives and goals. These forward-looking statements are based on the Company’s management’s current beliefs, expectations, estimates, forecasts and projections, as well as assumptions made by the Company’s management and information currently available to it.
The Company undertakes no obligation to revise any forward-looking statement, whether as a result of new information, future events or otherwise. Accordingly, you should not rely on any forward-looking statements, and all forward-looking statements are herein qualified by reference to the cautionary statements set forth above.
Senior Director, Global Communications
SOURCENRx Pharmaceuticals, Inc.