Reata Pharmaceuticals, Inc. (Nasdaq:RETA) (“Reata” or the
“Company”), a clinical-stage biopharmaceutical company, today
announced the pricing of an underwritten public offering of
2,400,000 shares of its Class A common stock at a price to the
public of $183.00 per share. The offering was upsized to 2,400,000
shares from the original offering size of 2,000,000 shares. The
gross proceeds to Reata from the offering, before deducting
underwriting discounts and commissions and other offering expenses,
are expected to be $439,200,000. The offering is expected to
close on November 18, 2019, subject to customary closing
conditions. In addition, Reata has granted the underwriters a
30-day option to purchase up to an additional 360,000 shares of
Reata’s Class A common stock on the same terms and conditions.
Citigroup, Jefferies, SVB Leerink and Stifel are acting as the
joint book-running managers for the offering. Baird, Cantor and
Ladenburg Thalmann are acting as co-managers for the offering.
Reata intends to use the net proceeds from the offering for
working capital and general corporate purposes, which include, but
are not limited to, advancing the development of bardoxolone methyl
and omaveloxolone through clinical trials, preparing to file New
Drug Applications for bardoxolone for the treatment of patients
with Alport syndrome and omaveloxolone for the treatment of
patients with Friedreich’s ataxia, planning for commercialization
of its potential products, and making payments due under its
agreement with AbbVie Inc.
The securities described above are being offered pursuant to an
effective shelf registration statement on Form S-3. The offering
may be made only by means of a written prospectus and prospectus
supplement that form a part of the registration statement. A final
prospectus supplement and accompanying prospectus relating to
the offering will be filed with the Securities and Exchange
Commission (the “SEC”) and will be available on the SEC’s website
at www.sec.gov. Copies of the final prospectus supplement and the
accompanying prospectus, when available, may also be obtained by
request at Citigroup, c/o Broadridge Financial Solutions, 1155 Long
Island Avenue, Edgewood, NY 11717 (Tel: 800-831-9146); at
Jefferies, Attention: Equity Syndicate Prospectus Departments, 520
Madison Avenue, 2nd Floor, New York, NY 10022, by phone at (877)
821-7388, or by email at Prospectus_Department@Jefferies.com; at
SVB Leerink, Attention: Syndicate Department, One Federal Street,
37th Floor, Boston, MA 02110, by telephone at 1-800-808-7525, ext.
6132, or by email at syndicate@svbleerink.com; or Stifel,
Attention: Syndicate, One Montgomery Street, Suite 3700, San
Francisco, CA 94104, or by telephone at (415) 364-2720, or by email
at syndprospectus@stifel.com.
This news release is for informational purposes only and shall
not constitute an offer to sell or the 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 of these
securities would be unlawful prior to registration or qualification
under the securities laws of any such state or jurisdiction.
About Reata Pharmaceuticals,
Inc.
Reata is a clinical-stage biopharmaceutical
company that develops novel therapeutics for patients with serious
or life-threatening diseases by targeting molecular pathways
involved in the regulation of cellular metabolism and inflammation.
Reata’s two most advanced clinical candidates, bardoxolone methyl
(bardoxolone) and omaveloxolone, target the important transcription
factor Nrf2 that promotes restoration of mitochondrial function,
reduction of oxidative stress, and inhibition of pro-inflammatory
signaling. Bardoxolone and omaveloxolone are
investigational drugs, and their safety and efficacy have not been
established by any agency.
Forward-Looking Statements
This press release includes certain disclosures
that contain “forward-looking statements,” including, without
limitation, statements regarding the anticipated public offering
and the anticipated use of proceeds of the offering, the success,
cost and timing of our product development activities and clinical
trials, our plans to research, develop and commercialize our
product candidates, our plans to submit regulatory filings, and our
ability to obtain and retain regulatory approval of our product
candidates. You can identify forward-looking statements
because they contain words such as “believes,” “will,” “may,”
“aims,” “plans,” “model,” and “expects.” Forward-looking statements
are based on Reata’s current expectations and assumptions.
Because forward-looking statements relate to the future, they are
subject to inherent uncertainties, risks, and changes in
circumstances that may differ materially from those contemplated by
the forward-looking statements, which are neither statements of
historical fact nor guarantees or assurances of future
performance. Important factors that could cause actual
results to differ materially from those in the forward-looking
statements include, but are not limited to, (i) the uncertainties
related to market conditions and the completion of the public
offering on the anticipated terms or at all; (ii) the timing,
costs, conduct, and outcome of our clinical trials and future
preclinical studies and clinical trials, including the timing of
the initiation and availability of data from such trials; (iii) the
timing and likelihood of regulatory filings and approvals for our
product candidates; (iv) whether regulatory authorities determine
that additional trials or data are necessary in order to obtain
approval; (v) the potential market size and the size of the patient
populations for our product candidates, if approved for commercial
use, and the market opportunities for our product candidates; and
(vi) other factors set forth in Reata’s filings with the U.S.
Securities and Exchange Commission, including its Annual Report on
Form 10-K for the year ended December 31, 2018 and Quarterly Report
on Form 10-Q for the quarter ended June 30, 2019, under the caption
“Risk Factors.” The forward-looking statements speak only as
of the date made and, other than as required by law, we undertake
no obligation to publicly update or revise any forward-looking
statements, whether as a result of new information, future events,
or otherwise.
Contact:Reata Pharmaceuticals, Inc.(972)
865-2219info@reatapharma.com
Investor Relations:Vinny JindalVice President,
Strategy(469) 374-8721ir@reatapharma.com
Media:Matt Middleman, M.D.LifeSci Public
Relations(646)
627-8384matt.middleman@lifescipublicrelations.com
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