Lexicon Announces Closing of Public Offering and Concurrent Private Placement, Including Full Exercise of Options to Purchase Additional Shares
June 05 2023 - 4:01PM
Lexicon Pharmaceuticals, Inc. (Nasdaq: LXRX) today announced the
closing of Lexicon’s previously announced public offering and
concurrent private placement of shares of its common stock. The
closing included the issuance and sale of an additional 3,588,705
shares of common stock to the underwriters pursuant to the full
exercise of their option to purchase additional shares. After
giving effect to the full exercise of the underwriters’ option to
purchase additional shares, the total number of shares of common
stock sold in the public offering was 27,513,410, and total gross
proceeds from the public offering were approximately $71.5 million,
before deducting underwriting discounts and commissions and other
offering expenses.
An affiliate of Invus, L.P., Lexicon’s largest
shareholder, also exercised in full its option to purchase an
additional 3,622,832 shares of common stock in connection with the
concurrent private placement. After giving effect to the full
exercise of the purchaser’s option to purchase additional shares,
the total number of shares of common stock sold in the concurrent
private placement was 27,775,050, and total gross proceeds from the
concurrent private placement were approximately $72.2 million,
before deducting offering expenses.
Lexicon intends to use a portion of the net
proceeds that it will receive from the offering, together with its
existing cash and cash equivalents and short-term investments, to
(i) fund the commercial launch of INPEFA™ (sotagliflozin) and (ii)
fund the continued research and development of its drug candidates
and for working capital and other general corporate purposes.
Citigroup, Jefferies and Piper Sandler acted as
joint book-running managers for the public offering.
A shelf registration statement on Form S-3
relating to the public offering was filed with the U.S. Securities
and Exchange Commission (“SEC”) on August 6, 2021 and declared
effective by the SEC on September 14, 2021 (File No. 333-258564).
The shares of common stock issued in the concurrent private
placement have not been registered under the Securities Act, or the
securities laws of any state or other jurisdiction in the
United States, and may not be offered, pledged, sold, delivered or
otherwise transferred, directly or indirectly, in the United
States except pursuant to registration under the Securities
Act or an applicable exemption from the registration requirements
of the Securities Act and, in each case, in compliance with other
applicable securities laws. A final prospectus supplement and
accompanying prospectus relating to the public offering have been
filed with the SEC and are available on the SEC’s website at
www.sec.gov. Copies of the final prospectus supplement and
accompanying prospectus may also be obtained from Citigroup, c/o
Broadridge Financial Services, 1155 Long Island Avenue, Edgewood,
NY 11717 (Tel: 800-831-9146); Jefferies LLC, Attention: Equity
Syndicate Prospectus Department, 520 Madison Avenue, New York, NY
10022, by e-mail at prospectus_department@jefferies.com or by
telephone at (877) 821-7388; or Piper Sandler & Co., Attention:
Prospectus Department, 800 Nicollet Mall, J12S03, Minneapolis,
Minnesota 55402, by telephone at (800) 747-3924, or by email at
prospectus@psc.com.
This press release does not constitute an offer
to sell, or the solicitation of an offer to buy, these securities,
nor will there be any sale of these securities in any state or
jurisdiction in which such offer, solicitation or sale is not
permitted.
About Lexicon
Pharmaceuticals
Lexicon is a biopharmaceutical company with a
mission of pioneering medicines that transform patients’ lives.
Through its Genome5000™ program, Lexicon scientists studied the
role and function of nearly 5,000 genes and identified more than
100 protein targets with significant therapeutic potential in a
range of diseases. Through the precise targeting of these proteins,
Lexicon is pioneering the discovery and development of innovative
medicines to safely and effectively treat disease. Lexicon is
commercially launching one of these medicines, INPEFATM
(sotagliflozin) in the United States, and has a pipeline of other
promising drug candidates in discovery and clinical and preclinical
development in neuropathic pain, diabetes and metabolism and other
indications. For additional information, please visit
www.lexpharma.com.
Safe Harbor Statement
This press release contains “forward-looking statements” within
the meaning of Section 27A of the Securities Act, and Section 21E
of the Securities Exchange Act of 1934, as amended. All
forward-looking statements, including, without limitation,
statements about the use of proceeds from the offering are based on
management’s current assumptions and expectations and involve
risks, uncertainties and other important factors, specifically
including Lexicon’s ability to meet its capital requirements,
successfully commercialize INPEFA in heart failure on the timeline
and/or at the prices currently contemplated or at all, conduct
preclinical and clinical development and obtain necessary
regulatory approvals of INPEFA (in other indications), LX9211 and
its other drug candidates on its anticipated timelines, achieve its
operational objectives, obtain patent protection for its
discoveries and establish strategic alliances, as well as
additional factors relating to manufacturing, intellectual property
rights, and the therapeutic or commercial value of its drug
candidates. Any of these risks, uncertainties and other factors may
cause Lexicon’s actual results to be materially different from any
future results expressed or implied by such forward-looking
statements. Information identifying such important factors is
contained under “Risk Factors” in Lexicon’s annual report on Form
10-K for the year ended December 31, 2022, quarterly report on Form
10-Q for the quarter ended March 31, 2023 and other subsequent
disclosure documents filed with the SEC. Lexicon undertakes no
obligation to update or revise any such forward-looking statements,
whether as a result of new information, future events or
otherwise.
For Investor Inquiries:
Carrie SiragusaLexicon Pharmaceuticals,
Inc.csiragusa@lexpharma.com
For Media Inquiries:
Alina CocuzzaLexicon Pharmaceuticals,
Inc.acocuzza@lexpharma.com
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