Enveric Biosciences, Inc. completed the immediate exercise of 426,390 outstanding warrants, generating $3.1 million in gross proceeds. The warrants, originally issued in February and September 2025 with exercise prices of $36.00 and $10.98, were exercised at a reduced price of $7.05 per share, a discount that enabled the company to raise capital quickly while keeping the transaction cost‑effective.
In exchange for the exercise, Enveric issued new Series E and Series F warrants to the holders. The new warrants carry an exercise price of $7.05 and are subject to the same terms as the original warrants, allowing holders to participate in future upside. H.C. Wainwright & Co. served as the exclusive placement agent for the offering, ensuring a smooth execution of the transaction.
The proceeds will be used to fund product development for Enveric’s lead candidate, EB‑003, and to support working capital and general corporate purposes. EB‑003, a neuroplasticity‑promoting small molecule targeting 5‑HT2A and 5‑HT1B receptors, has completed pre‑IND dose‑range studies and received a favorable response from the FDA for a pre‑IND meeting, positioning the company to advance toward a 2026 clinical trial.
Financially, the raise extends Enveric’s runway. As of September 30, 2025, the company held $3.8 million in cash and cash equivalents and reported a net loss of $3.4 million for Q3 2025. The $3.1 million infusion improves liquidity and supports ongoing R&D expenditures while mitigating the impact of the company’s current operating losses.
Strategically, this transaction follows a similar warrant exercise in September 2025 that raised $2.2 million, underscoring Enveric’s reliance on warrant‑based financing to fund its pipeline. The company also completed a 1‑for‑12 reverse split on October 23, 2025, and received shareholder approval on December 11 for the warrant exercise, the reverse split, and an increase in authorized shares, ensuring compliance with Nasdaq listing requirements.
CEO Joseph Tucker expressed confidence in the company’s trajectory, noting that the capital raise will accelerate EB‑003’s development and support the company’s broader pipeline. Tucker highlighted the strong progress in preclinical studies and the positive FDA interaction, emphasizing that the funding will help maintain momentum toward the 2026 clinical trial launch.
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