Esperion Announces Proposed Public Offering of Common Stock

Rhea-AI Summary

Esperion Therapeutics, Inc. has announced the commencement of an underwritten public offering of shares of its common stock, with the underwriters granted a 30-day option to purchase additional shares. The company plans to use the net proceeds to fund ongoing commercialization efforts, research and clinical development, working capital, capital expenditures, and general corporate purposes. The offering is subject to market conditions and the actual size or terms are uncertain. Jefferies LLC is acting as the sole book-running manager for the offering.

Insights

Financial Analyst

Esperion Therapeutics' initiation of an underwritten public offering is a strategic move to raise capital. The decision to offer a 30-day option for underwriters to purchase additional shares is a common practice, known as an 'over-allotment option,' which can help stabilize the share price after the offering. The company's explicit intention to fund the commercialization of NEXLETOL and NEXLIZET, as well as to support research and development, suggests a proactive approach to growth and product support.

Investors should consider the potential dilutive effect of such an offering on existing shares. However, if the proceeds lead to successful commercialization and development efforts, this could enhance the company's long-term value. The market's response to the offering will be a key indicator of investor confidence in Esperion's growth strategy and future prospects.

Medical Research Analyst

Esperion's focus on the commercialization of NEXLETOL and NEXLIZET is significant given the current landscape of cardiovascular and cardiometabolic disease treatments. The emphasis on lowering LDL-cholesterol levels aligns with the latest clinical guidelines, which could increase the drugs' market potential. The allocation of funds towards research and development reflects the company's commitment to innovation and could lead to a robust pipeline, potentially impacting future market share and competitive positioning within the pharmaceutical industry.

Stakeholders should monitor the progress of clinical trials and FDA approvals as these are critical milestones that can greatly affect the company's financial health and stock performance. The effectiveness and safety profiles of these drugs will be crucial in determining their success in the highly competitive cholesterol management market.

Market Research Analyst

Esperion's strategic allocation of the raised funds towards working capital and general corporate purposes indicates a broader plan for operational stability and growth. The company's ability to execute on its commercialization efforts will be essential in capturing market share, especially in the cardiovascular sector where patient adherence and outcomes are closely watched by healthcare providers.

Analyzing market trends, the demand for cholesterol-lowering medications continues to be robust due to the increasing prevalence of cardiovascular diseases globally. Esperion's success will largely depend on how NEXLETOL and NEXLIZET are received by healthcare providers and how they fit within the competitive landscape of existing treatment options.

ANN ARBOR, Mich., Jan. 18, 2024 (GLOBE NEWSWIRE) -- Esperion Therapeutics, Inc. (“Esperion”, “we”, “us” or “our”) (Nasdaq: ESPR) announced today that it has commenced an underwritten public offering of shares of its common stock. In connection with this offering, Esperion expects to grant the underwriters a 30-day option to purchase up to an additional 15% of the shares of its common stock at the public offering price, less underwriting discounts and commissions. All shares to be sold in the proposed offering of common stock will be sold by Esperion.

The offering of common stock is subject to market and other conditions and there can be no assurance as to whether or when the offering may be completed, or as to the actual size or terms of the offering.

Jefferies LLC is acting as sole book-running manager for the offering.

Esperion intends to use the net proceeds from the offering of common stock, together with its existing cash and cash equivalents, to fund the ongoing commercialization efforts for NEXLETOL (bempedoic acid) and NEXLIZET (bempedoic acid and ezetimibe), research and clinical development of current or additional pipeline candidates, working capital, capital expenditures, and general corporate purposes.

A registration statement relating to the offering of common stock has been filed with the Securities and Exchange Commission (“SEC”) and was declared effective on April 26, 2022. The offering of common stock will be made only by means of a prospectus supplement and accompanying prospectus. Copies of the preliminary prospectus supplement and the accompanying prospectus may be obtained, when available, on the SEC’s website at http://www.sec.gov or by contacting Jefferies LLC, Attention: Equity Syndicate Prospectus Department, 520 Madison Avenue, New York, New York 10022, by telephone at 877-821-7388, or by email at prospectus_department@jefferies.com.

This press release shall not constitute an offer to sell or a solicitation of an offer to buy these securities, nor shall there be any offer or sale of these securities in any state or 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 jurisdiction.

Esperion Therapeutics
At Esperion, we discover, develop, and commercialize innovative medicines to help improve outcomes for patients with or at risk for cardiovascular and cardiometabolic diseases. The status quo is not meeting the health needs of millions of people with high cholesterol – that is why our team of passionate industry leaders is breaking through the barriers that prevent patients from reaching their goals. Providers are moving toward reducing LDL-cholesterol levels as low as possible, as soon as possible; we provide the next steps to help get patients there. Because when it comes to high cholesterol, getting to goal is not optional. It is our life’s work. For more information, visit esperion.com and esperionscience.com and follow us on Twitter at twitter.com/EsperionInc.

Special Note Regarding Forward-Looking Statements
This press release contains forward-looking statements that are made pursuant to the safe harbor provisions of the federal securities laws, including, without limitation, statements related to the terms, timing and completion of the proposed public offering, the satisfaction of customary closing conditions related to the proposed public offering and the intended use of proceeds from the proposed public offering. These statements involve risks, uncertainties and other factors that may cause actual results, levels of activity, performance, or achievements to be materially different from the information expressed or implied by these forward-looking statements. Although we believe that we have a reasonable basis for each forward-looking statement contained in this press release, we caution you that these statements are based on a combination of facts and factors currently known by us and our projections of the future, about which we cannot be certain. We cannot assure you that the forward-looking statements in this press release will prove to be accurate. Furthermore, if the forward-looking statements prove to be inaccurate, the inaccuracy may be material. Actual performance and results may differ materially from those projected or suggested in the forward-looking statements due to various risks and uncertainties, including, among others: fluctuations in Esperion’s stock price, changes in market conditions, the completion of the public offering on the anticipated terms or at all, and the risks detailed in Esperion’s filings with the SEC, including in our most recent Annual Report on Form 10-K and in subsequent filings with the SEC. Any forward-looking statements contained in this press release speak only as of the date hereof, and Esperion disclaims any obligation or undertaking to update or revise any forward-looking statements contained in this press release, other than to the extent required by law.

Esperion Contact Information:
Investors:
Alexis Callahan
investorrelations@esperion.com
(406) 539-1762

Media:
Tiffany Aldrich
corporateteam@esperion.com
(616) 443-8438

FAQ

What did Esperion Therapeutics announce?

Esperion Therapeutics announced the commencement of an underwritten public offering of shares of its common stock.

What is the ticker symbol for Esperion Therapeutics?

The ticker symbol for Esperion Therapeutics is ESPR.

Who is acting as the sole book-running manager for the offering?

Jefferies LLC is acting as the sole book-running manager for the offering.

What will Esperion Therapeutics use the net proceeds from the offering for?

Esperion Therapeutics intends to use the net proceeds from the offering to fund ongoing commercialization efforts, research and clinical development, working capital, capital expenditures, and general corporate purposes.

Where can the preliminary prospectus supplement and the accompanying prospectus be obtained?

Copies of the preliminary prospectus supplement and the accompanying prospectus may be obtained on the SEC’s website at http://www.sec.gov or by contacting Jefferies LLC.