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RegMed Investors (RMi) Research Financing Note: Verve Therapeutics (VERV) has priced its public offering of 12.5 M shares at $10.00

November 29, 2023 5:37pm

Tuesday VERV dropped -$1.03 in aftermarket; Wednesday dropped -$0.73 to $11.20

Hoping for total gross proceeds of $125 M

Concurrent with the public offering, VERV has agreed to sell, subject to the consummation of the public offering and satisfaction of other customary closing conditions, in a private placement exempt from the registration requirements of the Securities Act of 1933, as amended (the “Securities Act”), 2,296,317 shares of its common stock to Eli Lilly and Company, at a price per share equal to the public offering price, for total gross proceeds of approximately $23 M.

In addition, VERV has granted the underwriters a 30-day option to purchase up to 1,875,000 additional shares of its common stock at the public offering price, less the underwriting discounts and commissions.

Jefferies, Guggenheim Securities, William Blair, BMO Capital Markets, and RBC Capital Markets are acting as joint book-running managers for the public offering.

The Bottom Line: What did I write on Tuesday’s closing bell …

“There's a noticeable that the economy is slowing, effecting share price growth that continue to fall and jockey for appreciation, as LPS (loss-per-share) cell and gene therapy companies’ earnings and “runways” highlighted the NEED to FINANCE with NO current outlook from capital markets and if they do finance the” raises” will be diminished without spectacular clinical results or partner “intervention.”

VERV had both a DISCOUNT and a partner to BUY in to VALIDATE the offering!!

35 companies, 1 interpreter!

Insight, foresight and recommendation

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Editor and Publisher ... Henry McCusker enters his tenth (10th) year at RegMed Investors with past experience in sell-side analysis, buy-side management, corporate management and due diligence.

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