Ovid Therapeutics rises on $175 million placing and research update

Shares of US neurological diseases specialist Ovid Therapeutics (Nasdaq OVID) jumped 18% in the pre-market session, and closed up 12% at $1.84 on Friday, after the company announced positive results from an early-stage trial of its OV329, as well as the pricing of a $175 million placement.

Ovid said that it has entered into a securities purchase agreement for a private investment in public equity (PIPE) financing that is expected to result in gross proceeds of up to $175 million to the company, including initial gross proceeds of approximately $81 million, in each case before placement agent fees and offering expenses. The PIPE financing is expected to close on or about October 6, 2025, subject to satisfaction of customary closing conditions.

The PIPE financing included participation from new investors Janus Henderson Investors, RA Capital Management, Eventide Asset Management, Coastlands Capital, Blue Owl Healthcare Opportunities, Balyasny Asset Management, Saturn V Capital and Ally Bridge Group, alongside existing investors including ADAR1 Capital Management and Affinity Healthcare Fund, LP, as well as new and existing large investment management firms.