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

Rhea-AI Summary

CG Oncology (Nasdaq: CGON) has completed its public offering of 9,200,000 common stock shares, with 8,500,000 shares offered by the company and 700,000 by an existing stockholder. The offering price was set at $28.00 per share, including the full exercise of underwriters' option to purchase 1,200,000 additional shares. The company raised $238.0 million in gross proceeds before deducting underwriting discounts and expenses.

The offering was managed by Morgan Stanley, Goldman Sachs, TD Cowen, and Stifel as joint book-running managers, with LifeSci Capital as lead manager. A registration statement was declared effective on December 12, 2024.

Positive

• Successfully raised $238.0 million in gross proceeds
• Full exercise of underwriters' option to purchase additional shares indicates strong demand
• Multiple tier-1 investment banks involved as underwriters

Negative

• Dilution of existing shareholders through issuance of 8.5 million new shares
• Additional expenses from underwriting discounts and offering costs will reduce net proceeds

IRVINE, Calif., Dec. 16, 2024 (GLOBE NEWSWIRE) -- CG Oncology, Inc. (Nasdaq: CGON), a late-stage clinical biopharmaceutical company focused on developing and commercializing a potential backbone bladder-sparing therapeutic for patients afflicted with bladder cancer, today announced the closing of its public offering of 9,200,000 shares of its common stock, 8,500,000 of which were offered by CG Oncology, which includes the exercise in full by the underwriters of their option to purchase 1,200,000 additional shares, and 700,000 of which were offered by an existing stockholder of CG Oncology, each at a public offering price of $28.00 per share. The gross proceeds to CG Oncology from the offering, before deducting underwriting discounts and commissions and other offering expenses, were $238.0 million. CG Oncology did not receive proceeds from the sale of shares of its common stock by the selling stockholder.

Morgan Stanley & Co. LLC, Goldman Sachs & Co. LLC, TD Cowen and Stifel, Nicolaus & Company, Incorporated acted as joint book-running managers for the offering. LifeSci Capital LLC acted as lead manager for the offering.

A registration statement relating to the offering has been filed with the Securities and Exchange Commission and was declared effective on December 12, 2024. A prospectus relating to and describing the terms of the offering has been filed with the SEC and is available on the SEC's website at www.sec.gov. The offering was made only by means of a prospectus. Copies of the final prospectus relating to the offering may be obtained from: Morgan Stanley & Co. LLC, Attention: Prospectus Department, 180 Varick Street, 2nd Floor, New York, NY 10014, by telephone at (866) 718-1649, or by email at prospectus@morganstanley.com; Goldman Sachs & Co. LLC, Attention: Prospectus Department, 200 West Street, New York, NY 10282, by telephone at (866) 471-2526, or by email at prospectus-ny@ny.email.gs.com; TD Securities (USA) LLC, 1 Vanderbilt Avenue, New York, New York 10017, by telephone at (855) 495-9846 or by email at TD.ECM_Prospectus@tdsecurities.com; or Stifel, Nicolaus & Company, Incorporated, Attention: Syndicate, One Montgomery Street, Suite 3700, San Francisco, CA 94104, by telephone at (415) 364-2720 or by email at syndprospectus@stifel.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 CG Oncology

CG Oncology is a late-stage clinical biopharmaceutical company focused on developing and commercializing a potential backbone bladder-sparing therapeutic for patients afflicted with bladder cancer. CG Oncology sees a world where urologic cancer patients may benefit from its innovative immunotherapies to live with dignity and have an enhanced quality of life.

Contacts

Media
Sarah Connors
VP, Communications and Patient Advocacy
(508) 654-2277
sarah.connors@cgoncology.com

Investor Relations
Chau Cheng
VP, Investor Relations
(949) 342-8939
chau.cheng@cgoncology.com

FAQ

How much did CG Oncology (CGON) raise in its December 2024 public offering?

CG Oncology raised $238.0 million in gross proceeds through the offering of 8.5 million shares at $28.00 per share, before deducting underwriting discounts and other expenses.

What was the price per share for CGON's December 2024 public offering?

The public offering price was set at $28.00 per share.

How many shares were sold by CG Oncology vs. existing stockholders in the December 2024 offering?

CG Oncology offered 8.5 million shares, while an existing stockholder sold 700,000 shares, totaling 9.2 million shares.

Which investment banks managed CGON's December 2024 public offering?

Morgan Stanley, Goldman Sachs, TD Cowen, and Stifel acted as joint book-running managers, with LifeSci Capital as lead manager.

When was CGON's registration statement declared effective for the December 2024 offering?

The registration statement was declared effective by the SEC on December 12, 2024.