Company: REVB
Filing Date: 2025-09-12
Form Type: PRE 14A
Source: 0000950170-25-114524
Chunk: 11

Company: REVELATION BIOSCIENCES, INC.
Filing Date: 2025-09-12
Form: PRE 14A
Chunk 11
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 common stock outstanding before the issuance.

Overview

On September 11, 2025, the Company entered into warrant inducement letters with certain institutional investors (the “Holders”) to induce the exercise of 13,065,000 Class H Common Stock Warrants collectively held by the Holders, which were exercisable into 4,355,000 shares of our common stock upon payment of an exercise price of $2.20, upon which the Company subsequently issued 13,065,000 Class I Common Stock Warrants to the Holders (the “Warrant Inducement”). The newly issued Class I Common Stock Warrants are exercisable for a period of five years from the date of stockholder approval and exercisable for one share of common stock upon payment of an exercise price of $2.20. The Company raised gross proceeds of approximately $9.6 million in connection with the Warrant Inducement.

Reasons for Warrant Inducement

As a clinical-stage biotechnology company, Revelation’s business model is to advance its product candidates through research and development and clinical trials in order to achieve milestones that support further investment, additional trials, potential regulatory approval, and ultimately commercial sales. On September 9, 2025, the Company released positive topline data from its PRIME Phase 1b clinical study of its Gemini-CKD product candidate and is preparing for FDA meetings regarding the next steps in its clinical program. To proceed with these activities, the Company must secure adequate financing. In addition, to comply with Nasdaq continued listing rules, the Company is required to maintain a minimum of $2.5 million in stockholders’ equity and needed to complete a financing to assure compliance as of September 30, 2025.

The Board of Directors reviewed a range of financing alternatives, including the issuance of equity, convertible securities, and debt instruments, in determining how best to raise the additional capital required to fund the Company’s operations. After careful consideration, the Board concluded that a warrant inducement transaction was in the best interests of the Company and its stockholders, notwithstanding the significant dilution it will cause.

In reaching its decision, the Board emphasized that the warrant inducement offered greater certainty of completion than other available alternatives, particularly in view of current market conditions and the inherent risks faced by biotechnology companies. The transaction could be executed quickly and reliably, ensuring that the Company would obtain the funding necessary to advance its clinical development programs and maintain its operations. The Board further noted that this approach entailed