The SPAC craze continues as San Diego-based Revelation Biosciences announced its merger with Petra Acquisition that will result in the company’s listing on the Nasdaq exchange.
The SPAC craze continues as San Diego-based Revelation Biosciences announced its merger with Petra Acquisition that will result in the company’s listing on the Nasdaq exchange.
Revelation Biosciences focuses on the development of immunologic‑based therapies aimed at respiratory infections. The merger with Petra Acquisitions comes six months after Revelation closed a $4.4 million Series A-1 financing round. The merger with Petra will provide the company with $73 million in additional financing and will give the company an estimated market value of $128 million. The company will list on the Nasdaq under the ticker symbol “REVB.”
Proceeds from the merger will be used to advance Revelation’s therapeutic pipeline which includes its lead asset and a diagnostic used to detect multiple respiratory viral infections.
SPAC mergers have provided multiple life sciences companies with a faster route to list on a public stock exchange. In the past 18 months, the SPAC craze has been booming in the life sciences with dozens of companies opting for this route over a traditional IPO.
Revelation’s lead asset is REVTx-99, a broad anti-viral nasal drop solution under development as both a preventative medication, and treatment of various respiratory viruses, including COVID-19, different forms of influenza, rhinovirus and RSV. REVTx-99 is designed to boost the body’s innate immune system in order to either prevent infection, or to combat an early infection. REVTx-99 has completed a Phase I study, which showed the therapeutic candidate was safe and also stimulated significant production of Interferon-Induced Protein-10 (IP-10). A Phase II study is expected to begin in the first quarter of 2022. Additionally, the company expects to initiate a Phase I study as a treatment for chronic nasal congestion by the end of 2021.
Revelation Chief Executive Officer James Rolke pointed to the ongoing COVID-19 pandemic and the toll it has taken not only on the health of the nation, but also on the effect it has had on the global economy. The funds from the merger with Petra will provide the company with the capital it needs to advance its pipeline in order to transform the prevention and treatment landscape of viral respiratory diseases.
“We believe innovations like REVTx‑99 will enable a return to normalcy, alleviating concerns about exposure to severe respiratory infections. The mechanism of REVTx‑99, which activates the innate immune system, has the potential to reduce the exposure risks associated with travel, medical care and normal daily interactions by preventing and combating early infection,” Rolke said in a statement.
In addition to REVTx-99, Revelation is developing REVTx‑200, an intranasal immunomodulator adjunct designed to work in conjunction with an intramuscular vaccination for more complete immunity. Revelation’s point-of-care diagnostic test is REVDx-501. It is designed to be used to detect respiratory viral infections regardless of virus type and without the need for specialized instrumentation, according to the company.
