Rhythm Pharmaceuticals prices upsized public offering at $85 per share

Published 10/07/2025, 11:26
Rhythm Pharmaceuticals prices upsized public offering at $85 per share

BOSTON - Rhythm Pharmaceuticals, Inc. (NASDAQ:RYTM), a $5.66 billion market cap biopharmaceutical company, announced Thursday the pricing of its upsized public offering of 2,058,824 shares of common stock at $85.00 per share. According to InvestingPro data, the stock has surged over 35% in the past week and is currently trading near its 52-week high.

The rare disease-focused biopharmaceutical company expects to raise approximately $175 million in gross proceeds from the offering, before deducting underwriting discounts, commissions, and estimated offering expenses. The company maintains strong financial health with a current ratio of 3.3, indicating solid liquidity to meet short-term obligations.

Rhythm has also granted the underwriters a 30-day option to purchase up to an additional 308,823 shares at the same price. The offering is expected to close on or about July 11, subject to customary closing conditions.

Morgan Stanley, BofA Securities, Stifel, and Wells Fargo Securities are serving as joint book-running managers for the offering, with Canaccord Genuity and Citizens Capital Markets acting as lead managers.

The company is conducting the offering under a shelf registration statement on Form S-3 that became effective on March 2, 2023. All shares in the offering are being offered by Rhythm Pharmaceuticals.

Rhythm Pharmaceuticals focuses on developing treatments for rare neuroendocrine diseases. The company did not specify how it plans to use the proceeds from this offering in its press release statement.

The information in this article is based on a press release issued by Rhythm Pharmaceuticals.

In other recent news, Rhythm Pharmaceuticals announced a proposed public offering of $150 million in common stock, with the possibility of an additional $22.5 million through underwriters. This offering is part of the company’s ongoing financial activities and is contingent on market conditions. Meanwhile, Rhythm Pharmaceuticals received positive feedback from several analyst firms following promising Phase 2 trial results for its oral obesity treatment, bivamelagon. Leerink Partners raised its price target for the company to $102, highlighting the trial data as a significant milestone for Rhythm’s MC4R franchise. Similarly, Stifel increased its price target to $123, citing derisked prospects for bivamelagon and potential for long-term franchise extension. BofA Securities also lifted its price target to $95, noting the treatment’s efficacy in reducing BMI in line with expectations. Analysts from these firms have maintained positive ratings, reflecting confidence in Rhythm’s strategic advancements and upcoming catalysts.

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