Lexeo Therapeutics prices $135 million public offering and placement

NEW YORK - Lexeo Therapeutics, Inc. (NASDAQ:LXEO) has priced its underwritten public offering and concurrent private placement for gross proceeds of approximately $135 million, the clinical stage genetic medicine company announced Thursday. According to InvestingPro data, the company’s current market capitalization stands at $473.56 million, with the stock trading near its Fair Value based on comprehensive analysis.

The company is offering 15,625,000 shares of common stock in the public offering at $8.00 per share. Lexeo has also granted the underwriters a 30-day option to purchase up to an additional 2,343,750 shares at the public offering price.

Concurrent with the public offering, Lexeo has agreed to sell pre-funded warrants to purchase 1,250,015 shares of common stock to Balyasny Asset Management at a price of $7.9999 per pre-funded warrant in a private placement.

The transactions are expected to close on or about October 20, subject to customary closing conditions.

Leerink Partners, Cantor, Stifel and Oppenheimer & Co. are serving as joint book-running managers for the public offering, with Baird acting as lead manager. Leerink Partners is the sole placement agent for the concurrent private placement.

Lexeo Therapeutics focuses on developing genetic medicine treatments for cardiovascular diseases. Its portfolio includes therapeutic candidates targeting Friedreich ataxia cardiomyopathy and plakophilin-2 arrhythmogenic cardiomyopathy.

The information in this article is based on a press release statement from the company.

In other recent news, Lexeo Therapeutics has announced a public offering and a concurrent private placement of its common stock and pre-funded warrants. The company plans to sell shares in both the public offering and a private placement to Balyasny Asset Management, with all securities being sold by Lexeo itself. In addition, the underwriters have been granted a 30-day option to purchase additional shares. H.C. Wainwright has raised its price target for Lexeo Therapeutics to $15, up from $9, maintaining a Buy rating. This decision follows the FDA’s feedback, which supports an accelerated approval pathway for Lexeo’s therapy. The FDA has shown openness to pooling data from ongoing Phase I/II studies with pivotal data for a Biologics License Application under the Accelerated Approval pathway. Interim clinical data from Lexeo’s gene therapy for Friedreich ataxia cardiomyopathy has shown promising results, with participants achieving significant reductions in left ventricular mass index. These developments suggest potential advancements in the company’s regulatory and clinical progress.

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