ALX Oncology Announces Closing of Public Offering and Full Exercise of the Underwriters’ Option to Purchase Additional Shares

Rhea-AI Summary

ALX Oncology Holdings Inc. (Nasdaq: ALXO) has successfully closed its underwritten public offering of 2,737,000 shares of common stock at a price of $76.00 per share, raising approximately $208.0 million in gross proceeds. This includes the full exercise of the underwriters' option for an additional 357,000 shares. The offering was managed by Jefferies, Credit Suisse, and Piper Sandler, among others. The funds raised will likely support the ongoing clinical development of ALX148, a promising treatment targeting CD47 in various cancers.

Positive

• Raised approximately $208.0 million in gross proceeds from the public offering.
• Full exercise of the underwriters' option for 357,000 additional shares indicates strong investor interest.
• Funding will be used to support clinical development of ALX148 for solid tumors and hematologic malignancies.

Negative

• Potential for shareholder dilution due to the increase in outstanding shares from the offering.

BURLINGAME, Calif., Dec. 14, 2020 (GLOBE NEWSWIRE) -- ALX Oncology Holdings Inc. (“ALX Oncology”) (Nasdaq: ALXO), a clinical-stage immuno-oncology company developing therapies to block the CD47 checkpoint pathway, today announced the closing of its previously announced underwritten public offering of 2,737,000 shares of its common stock, which includes the exercise in full of the underwriters’ option to purchase 357,000 additional shares of its common stock, at a price to the public of $76.00 per share. The aggregate gross proceeds to ALX Oncology from the offering were approximately $208.0 million, before deducting underwriting discounts and commissions and other offering expenses. All of the shares in the offering were offered by ALX Oncology. 

Jefferies, Credit Suisse, and Piper Sandler acted as joint book-running managers for the offering. Cantor and UBS Investment Bank also acted as book-running managers for the offering. LifeSci Capital acted as lead manager for the offering.

Registration statements relating to these securities became effective on December 9, 2020. The offering was made only by means of a prospectus, copies of which may be obtained from Jefferies LLC, Attention: Equity Syndicate Prospectus Department, 520 Madison Avenue, 2nd Floor, New York, NY 10022, by telephone at (877) 821-7388, or by email at prospectus_department@Jefferies.com; Credit Suisse Securities (USA) LLC, Attention: Prospectus Department, 6933 Louis Stephens Drive, Morrisville, NC 27560, by telephone at (800) 221-1037, or by email at usa.prospectus@credit-suisse.com; Piper Sandler & Co., Attention: Prospectus Department, 800 Nicollet Mall, J12S03, Minneapolis, MN 55402, by telephone at (800) 747-3924, or by email at prospectus@psc.com; Cantor Fitzgerald & Co., Attention: Capital Markets, 499 Park Avenue, 6th Floor New York, NY 10022, or by email at prospectus@cantor.com; or UBS Securities LLC, Attention: Prospectus Department, 1285 Avenue of the Americas, New York, NY 10019, by telephone at (888) 827-7275, or by email at ol-prospectus-request@ubs.com.

This press release 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 would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.

About ALX Oncology

ALX Oncology is a publicly traded, clinical-stage immuno-oncology company focused on helping patients fight cancer by developing therapies that block the CD47 checkpoint pathway and bridge the innate and adaptive immune system. ALX Oncology’s lead product candidate, ALX148, is a next generation CD47 blocking therapeutic that combines a high-affinity CD47 binding domain with an inactivated, proprietary Fc domain. ALX148 has demonstrated promising clinical responses across a range of hematologic and solid malignancies in combination with a number of leading anti-cancer agents. ALX Oncology intends to continue clinical development of ALX148 for the treatment of a range of solid tumor indications as well as MDS and AML.

Investor Contact:
Peter Garcia
Chief Financial Officer, ALX Oncology
(650) 466-7125 Ext. 113
peter@alxoncology.com

Argot Partners
(212)-600-1902
alx@argotpartners.com

Media Contact:
Karen Sharma
MacDougall
(781) 235-3060
alx@macbiocom.com

FAQ

What was the price per share in ALXO's recent public offering?

The public offering price for ALXO's shares was $76.00 each.

How much money did ALXO raise from its public offering?

ALXO raised approximately $208.0 million in gross proceeds from the offering.

What is the purpose of the funds raised from ALXO's public offering?

The funds will be used to support the clinical development of ALX148 for various cancer treatments.

Who managed ALXO's public offering?

Jefferies, Credit Suisse, and Piper Sandler served as joint book-running managers for the offering.

What is ALX Oncology focusing on with its product candidate ALX148?

ALX Oncology is focused on developing ALX148 as a therapy that blocks the CD47 checkpoint pathway to treat cancers.