Ovid Therapeutics Inc. (Nasdaq: OVID), a New York-based biopharmaceutical company developing small molecule therapies for brain disorders, announced a USD 60 million private placement to fund the expansion of its lead clinical program, OV329, into additional neurological indications. The PIPE financing, expected to close on or about March 19, 2026, will support development of OV329 in tuberous sclerosis complex and infantile spasms, alongside general research and development activities. The company intends to combine the net proceeds with existing cash, cash equivalents, and marketable securities.
Under the terms of the securities purchase agreement, Ovid is selling 19,154,321 shares of common stock at USD 2.01 per share and pre-funded warrants to purchase up to 10,701,710 additional shares at a purchase price of USD 2.009 per pre-funded warrant. The pre-funded warrants carry an exercise price of USD 0.001 per share and are immediately exercisable. Point72 led the financing, with participation from existing investors including Adage Capital Management, ADAR1 Capital Management, Affinity Asset Advisors, Ally Bridge Group, Balyasny Asset Management, Coastlands Capital, Eventide Asset Management, Janus Henderson Investors, and RA Capital Management. Leerink Partners served as lead placement agent, with Oppenheimer & Co. and LifeSci Capital acting as co-placement agents.
Company overview and pipeline
Ovid Therapeutics is focused on developing targeted small molecule candidates that modulate factors involved in neuronal hyperexcitability across multiple neurological and neuropsychiatric disorders. The company's lead asset, OV329, is a next-generation GABA-aminotransferase inhibitor being developed as a potential therapy for treatment-resistant focal onset seizures and developmental and epileptic encephalopathies, including tuberous sclerosis complex and infantile spasms. The press release did not specify the current clinical phase of OV329 or provide a timeline for upcoming milestones in these new indications.