ZIOPHARM Oncology Announces Pricing of $50 Million Follow-On Offering of Common Stock
May 12 2017 - 9:20AM
ZIOPHARM Oncology, Inc. (Nasdaq:ZIOP), a biopharmaceutical
company focused on new immunotherapies, today announced that it has
priced an underwritten follow-on offering of 9,708,738 shares of
its common stock at an offering price of $5.15 per share to a
single institutional investor, before underwriting discounts and
commissions. All of the shares are being offered by ZIOPHARM.
Proceeds to ZIOPHARM from this offering are
expected to be $50 million, before deducting underwriting discounts
and commissions and estimated offering expenses. ZIOPHARM intends
to use the net proceeds from the offering for general corporate and
working capital purposes, including the advancement of its clinical
programs. Given ZIOPHARM’s current development plans and assuming
that the offering closes as expected, ZIOPHARM anticipates that its
current cash resources, after giving effect to the proceeds of the
proposed offering, will be sufficient to fund its operations into
the fourth quarter of 2018. The offering is expected to close on
May 16, 2017, subject to customary closing conditions.
Guggenheim Securities, LLC is acting as the sole
book-running manager for the offering.
These securities being offered are registered
pursuant to an automatic shelf registration statement filed with
the U.S. Securities and Exchange Commission on February 2, 2015 and
the offering is being made only by means of a written prospectus. A
copy of the final prospectus relating to these securities, when
available, may be obtained from Guggenheim Securities, LLC,
Attention: Equity Syndicate Department, 330 Madison Ave., New York,
NY 10017, via telephone at (212) 518-9658 or by email to
GSEquityProspectusDelivery@guggenheimpartners.com.
This press release shall not constitute an offer
to sell or a solicitation of an offer to buy, nor shall there be
any sale of these securities in any state or jurisdiction in which
such offer, solicitation or sale would be unlawful prior to
registration or qualification under the securities laws of any such
state or jurisdiction.
About ZIOPHARM Oncology,
Inc.
ZIOPHARM Oncology is a Boston,
Massachusetts-based biotechnology company employing novel gene
expression, control and cell technologies to deliver safe,
effective and scalable cell- and viral-based therapies for the
treatment of cancer and graft-versus-host-disease. The Company’s
immuno-oncology programs, in collaboration with Intrexon
Corporation (NYSE:XON) and the MD Anderson Cancer Center, include
chimeric antigen receptor T cell (CAR-T) and other
adoptive cell-based approaches that use non-viral gene
transfer methods for broad scalability. The Company is advancing
programs in multiple stages of development together with Intrexon
Corporation’s RheoSwitch Therapeutic System® technology, a
switch to turn on and off, and precisely modulate, gene expression
in order to improve therapeutic index. The Company’s pipeline
includes a number of cell-based therapeutics in both clinical and
preclinical testing which are focused on hematologic and solid
tumor malignancies.
Forward-Looking Statements
Any statements in this press release about
future expectations, plans and prospects for ZIOPHARM Oncology,
Inc., including statements about the anticipated closing of the
offering, the amount and use of the anticipated proceeds the
Company expects to receive from the offering, clinical development
of the Company’s product candidates, expectations regarding the
Company’s cash resources to fund its future operations and other
statements containing the words “anticipate,” “believe,”
“estimate,” “expect,” “intend,” “may,” “plan,” “predict,”
“project,” “target,” “potential,” “will,” “would,” “could,”
“should,” “continue,” and similar expressions, constitute
forward-looking statements within the meaning of The Private
Securities Litigation Reform Act of 1995. Actual results may differ
materially from those indicated by such forward-looking statements
as a result of various important factors, including the risks and
uncertainties related to the satisfaction of customary closing
conditions related to the offering and such other factors as are
discussed in the Company’s Annual Report on Form 10-K for the
fiscal year ended December 31, 2016, its Quarterly Report on Form
10-Q for the quarter ended March 31, 2017 and the Company’s other
filings with the Securities and Exchange Commission. Readers are
cautioned not to place undue reliance on these forward-looking
statements that speak only as of the date hereof, and the Company
does not undertake any obligation to revise and disseminate
forward-looking statements to reflect events or circumstances after
the date hereof, or to reflect the occurrence of or non-occurrence
of any events.
Contact:
Amy Trevvett
Vice President, Corporate Communications and Investor Relations
617-502-1881
atrevvett@ziopharm.com
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