SAN MATEO, Calif. - Sagimet Biosciences Inc. (NASDAQ:SGMT), a biopharmaceutical company focused on developing fatty acid synthase (FASN) inhibitors, announced today the initiation of a public offering of 9 million shares of its Series A common stock. In conjunction with this offering, the underwriters may have a 30-day option to buy up to an additional 1.35 million shares.
The completion and terms of the offering are subject to market conditions, and there is no certainty regarding the finalization or the specifics of the offering. Goldman Sachs & Co. LLC, TD Cowen, and Leerink Partners are serving as joint book-running managers, while JMP Securities is the lead manager.
The shares are being offered pursuant to a registration statement filed with the Securities and Exchange Commission (SEC), which at this time has not yet become effective. Therefore, these securities cannot be sold nor offers to buy accepted until the registration statement is effective.
InvestingPro Insights
As Sagimet Biosciences Inc. (NASDAQ:SGMT) prepares for its public offering, potential investors might be keen on understanding the company's financial health and market performance. According to real-time data from InvestingPro, SGMT holds a market capitalization of $421.74 million, with a striking one-week price total return of 174.88%. This suggests a significant market interest in the stock, coinciding with the timing of their public offering announcement.
From the perspective of financial metrics, the company's revenue for the last twelve months as of Q3 2023 stands at $2 million, with a remarkable gross profit margin of 100%. However, SGMT is not profitable over the last twelve months, with an operating income margin of -1433.1%. These figures highlight the company's current phase of growth and the potential risks associated with its development-stage nature.
Investors evaluating the stock's prospects should note a couple of InvestingPro Tips: SGMT's balance sheet holds more cash than debt, which could be a sign of financial resilience. Additionally, three analysts have revised their earnings upwards for the upcoming period, indicating potential optimism about the company's future performance. For those interested in deeper analysis, InvestingPro offers more tips, and a subscription is now on a special New Year sale with a discount of up to 50%. Use coupon code SFY24 to get an additional 10% off a 2-year InvestingPro+ subscription, or SFY241 to get an additional 10% off a 1-year InvestingPro+ subscription.
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