Recro Pharma, Inc. (REPH)

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REPH financing deal

Recro Pharma, Inc. (Nasdaq: REPH), a clinical stage specialty pharmaceutical company developing non-opioid therapeutics for the treatment of acute post operative pain announced it has entered into a common stock purchase agreement with Aspire Capital Fund, LLC (Aspire Capital). Under the new agreement, Recro has the right to sell up to $10 million in shares of common stock to Aspire Capital, subject to certain terms and conditions over a two-year period. The agreement represents an additional tool to provide the Company with additional capital and flexibility.

While we remain focused on our on-going Dex-IN Phase II trial in acute pain following surgery, this financing provides us with additional financial flexibility in anticipation of our upcoming interim and top-line results for our on-going trial, said Gerri Henwood, Recro Pharma's President and Chief Executive Officer. We believe that having ready access to capital provides us a stronger financial position as we continue our corporate, clinical and operational activities.

Aspire Capital has no right to require any sales by Recro but is obligated to make purchases as Recro directs, in accordance with the terms of the purchase agreement;

There are no limitations on the use of proceeds, financial covenants or restrictions on future financings and there are no rights of first refusal, participation rights, penalties or liquidated damages in the purchase agreement; and

The purchase agreement may be terminated by Recro at any time, at its discretion, without any additional cost or penalty.