Savara Inc ends sales agreement with Evercore

Savara Inc, a pharmaceutical company currently valued at $612 million, announced today that it has terminated its material definitive agreement with Evercore Group L.L.C., effectively ending their prior arrangement for the sale of common stock. The agreement, which allowed Savara to sell shares of its common stock through Evercore in at-the-market offerings, will cease on April 2, 2025. According to InvestingPro data, the stock has seen a -31% return over the past six months, trading at $2.91.

The Sales Agreement, originally entered into on July 6, 2021, authorized Savara to offer up to $100 million in shares. However, the company has not issued or sold any shares under this agreement since December 31, 2024. Savara’s decision to terminate the agreement does not incur any penalties. InvestingPro analysis shows the company maintains a strong financial position with more cash than debt and a robust current ratio of 13.73, indicating excellent liquidity.

This move comes as the company, based in Austin, Texas, continues to navigate the pharmaceutical preparations market. Savara, incorporated in Delaware and listed on the NASDAQ Global Select Market under the ticker SVRA, has not provided a reason for the termination in the press release. The original Sales Agreement with Evercore was included as an exhibit in Savara’s Current Report on Form 8-K filed with the U.S. Securities and Exchange Commission on July 7, 2021.

This news is based on a press release statement and reflects the company’s latest strategic decision regarding its capital market activities. As of the last report, Savara Inc’s business address is in Langhorne, Pennsylvania, with the principal executive offices remaining in Austin, Texas. The company, previously known under different names including Mast Therapeutics (NASDAQ:SVRA), Inc., ADVENTRX Pharmaceuticals Inc, and BIOKEYS Pharmaceuticals Inc, has undergone several transformations in its history.

Investors and stakeholders in the pharmaceutical industry will be watching to see how this termination affects Savara’s financial strategies and market position moving forward. Analyst targets range from $6 to $16 per share, with the next earnings report scheduled for May 8, 2025. InvestingPro offers additional insights through its comprehensive research report, including 8 more key ProTips and detailed financial analysis available to subscribers.

In other recent news, Savara Inc. has made significant strides with the completion of its Biologics License Application (BLA) submission to the FDA for Molbreevi, a treatment for autoimmune pulmonary alveolar proteinosis (aPAP). The company has requested a Priority Review, which could expedite the approval process, with a potential commercial launch anticipated in early 2026. Analysts from H.C. Wainwright and JMP Securities have maintained positive outlooks on Savara, with price targets of $6.00 and $9.00, respectively, reflecting confidence in the drug’s approval and market potential.

JMP Securities noted that Savara has identified a larger patient population than previously estimated, with approximately 3,600 diagnosed U.S. patients and another 3,700 likely to have aPAP. The introduction of Savara’s aPAP ClearPath Dried Blood Spot test in the U.S. is expected to enhance diagnosis and access to testing. Clinical trials for Molbreevi have shown promising results, with improvements in lung function and quality of life for patients, and no discontinuations due to drug-related adverse events.

The drug has also received multiple designations from regulatory agencies, including Fast Track and Breakthrough Therapy Designations from the FDA. Savara has set executive bonus targets for 2025, aligning compensation with company performance goals. As Savara awaits regulatory response, it continues to focus on advancing treatments for rare respiratory diseases.

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