Ayala Pharmaceuticals Announces Closing of Initial Public Offering

Rhea-AI Summary

Ayala Pharmaceuticals, Inc. (NASDAQ: AYLA) has successfully closed its initial public offering of 3,666,667 shares at $15.00 per share, generating approximately $55.0 million in gross proceeds. The shares began trading on NASDAQ on May 8, 2020. Citigroup and Jefferies led the offering, supported by Oppenheimer & Co. and Raymond James. The registration statement for this offering was filed with the SEC and became effective on May 7, 2020. The offering is solely for securities sold by Ayala, and details for obtaining the prospectus have been provided.

Positive

• Gross proceeds of approximately $55.0 million from the IPO provide significant funding for Ayala's oncology projects.
• Successful listing on NASDAQ under the ticker symbol 'AYLA' expands visibility and accessibility for investors.

Negative

• Potential dilution of existing shares due to the new shares offered in the IPO.

REHOVOT, Israel & WILMINGTON, Del., May 12, 2020 (GLOBE NEWSWIRE) -- Ayala Pharmaceuticals, Inc. (NASDAQ: AYLA), a clinical-stage oncology company focused on developing and commercializing small molecule therapeutics for patients suffering from rare and aggressive cancers, primarily in genetically defined patient populations, today announced the closing of its initial public offering of 3,666,667 shares of common stock at a public offering price of $15.00 per share. The gross proceeds from the offering are approximately $55.0 million, before underwriting discounts, commissions and other offering expenses payable by Ayala. All shares in the offering were offered by Ayala. Ayala’s common stock began trading on the NASDAQ Global Market on May 8, 2020 under the ticker symbol “AYLA.”

Citigroup and Jefferies acted as lead book-running managers for the offering. Oppenheimer & Co. and Raymond James acted as the co-managers for the offering.

A registration statement relating to the securities sold in the offering has been filed with the Securities and Exchange Commission and became effective on May 7, 2020. This offering was made only by means of a prospectus. Copies of the final prospectus relating to this offering, when available, may be obtained from: Citigroup Global Markets Inc., c/o Broadridge Financial Solutions, 1155 Long Island Avenue, Edgewood, New York, 11717 or by telephone at (800) 831-9146; or Jefferies LLC, Attention: Equity Syndicate Prospectus Department, 520 Madison Avenue, 2nd Floor, New York, New York 10022, by telephone at (877) 821-7388 or by email to prospectus_department@Jefferies.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 an offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.

Contacts:

Investors:
Julie Seidel
Stern Investor Relations, Inc.
+1-212-362-1200
Julie.seidel@sternir.com

Ayala Pharmaceuticals:
+1-857-444-0553
info@ayalapharma.com

FAQ

What were the details of Ayala Pharmaceuticals' IPO?

Ayala Pharmaceuticals closed its IPO by offering 3,666,667 shares at $15.00 each, raising approximately $55.0 million.

When did Ayala Pharmaceuticals start trading on NASDAQ?

Ayala Pharmaceuticals began trading on NASDAQ on May 8, 2020.

Who were the lead managers for Ayala Pharmaceuticals' IPO?

Citigroup and Jefferies acted as lead book-running managers, with Oppenheimer & Co. and Raymond James as co-managers.

How does the IPO affect current shareholders of AYLA?

The IPO may lead to potential dilution of shares for existing shareholders due to the issuance of new shares.

What is the purpose of Ayala Pharmaceuticals' IPO proceeds?

The proceeds are intended for funding clinical developments of Ayala's small molecule therapeutics for rare and aggressive cancers.