From Yahoo Finance: 2025-04-28 13:16:00

Shares of Biohaven (NYSE: BHVN) surged 8% midday, peaking at 10%. The rise followed a $600 million non-dilutive financing deal with Oberland Capital. The agreement includes $250 million upfront, with the rest tied to milestones and acquisitions, bolstering Biohaven’s pipeline development. The funding allows for further clinical trial advancement and FDA approval preparation for troriluzole, its lead candidate for spinocerebellar ataxia (SCA), a rare, life-threatening neurological disorder with no existing treatments. Biohaven, a pre-revenue biotech company, relies on investments for drug development, making this financial boost crucial for its operations. While Biohaven’s $3 billion market cap is high for a pre-revenue company, the $600 million cash infusion provides a safety net and potential for valuation growth with FDA approval of troriluzole. The path to approval is not guaranteed, and regulatory hurdles remain a risk, but Biohaven’s SCA treatment shows promise for investors with a high-risk tolerance. The Motley Fool Stock Advisor team recently identified the 10 best stocks to buy now, with Biohaven not making the cut. The selected stocks have the potential for significant returns in the future, offering investors an opportunity for growth. Past recommendations from the Stock Advisor team have yielded impressive returns, outperforming the market significantly. Joining Stock Advisor gives access to the latest top 10 list, providing insights into potential investment opportunities.

Read more: Why BioHaven Stock Is Soaring Today