Castle Biosciences Announces Closing of Public Offering of Common Stock and Full Exercise of Underwriters’ Option to Purchase Additional Shares
Castle Biosciences (Nasdaq: CSTL) has successfully closed its underwritten public offering, issuing 4,600,000 shares of common stock at a price of $58.00 per share. This includes the full exercise of the underwriters' option for an additional 600,000 shares, totaling gross proceeds of $266.8 million before expenses. The offering was managed by SVB Leerink and Baird, among others. The securities were offered under a shelf registration effective since December 14, 2020, with final prospectus details available through the SEC.
- Gross proceeds of $266.8 million will bolster financial resources for Castle Biosciences.
- The successful completion of the offering may strengthen market confidence in CSTL.
- The issuance of 4,600,000 shares could lead to dilution of existing shareholders' equity.
- Market reaction to the offering's dilution potential may affect short-term stock performance.
Castle Biosciences, Inc. (Nasdaq: CSTL), announced today the closing of its previously announced underwritten public offering of 4,600,000 shares of its common stock, including the exercise in full by the underwriters of their option to purchase an additional 600,000 shares, at a public offering price of
SVB Leerink and Baird acted as joint bookrunning managers in the offering. Canaccord Genuity acted as passive bookrunner and BTIG and Lake Street Capital Markets acted as co-managers in the offering.
The securities described above were offered by Castle pursuant to a shelf registration statement on Form S-3, including a base prospectus, that was previously filed by Castle and became effective by rule of the Securities and Exchange Commission (the “SEC”) on December 14, 2020. A final prospectus supplement and accompanying prospectus relating to the offering have been filed with the SEC and are available for free on the SEC’s website located at http://www.sec.gov. Copies of the final prospectus supplement and the accompanying prospectus relating to the offering may be obtained from: SVB Leerink LLC, Attention: Syndicate Department, One Federal Street, 37th Floor, Boston, MA 02110, by telephone at (800) 808-7525, ext. 6132, or by email at syndicate@svbleerink.com; or Robert W. Baird & Co. Incorporated, Attention: Syndicate Department, 777 East Wisconsin Ave., Milwaukee, WI 53202, by telephone at (800) 792-2473, or by email at syndicate@rwbaird.com.
This press release shall not constitute an offer to sell or the solicitation of an offer to buy these securities, nor shall there be any offer or sale of these securities in any state or other jurisdiction in which such offer, solicitation or sale would be unlawful prior to the registration or qualification under the securities laws of any such state or other jurisdiction.
About Castle Biosciences
Castle Biosciences is a commercial-stage dermatologic cancer company focused on providing physicians and their patients with personalized, clinically actionable genomic information to make more accurate treatment decisions.
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