Freeline Announces Pricing of Initial Public Offering

Rhea-AI Summary

Freeline Therapeutics announced the pricing of its initial public offering (IPO) in the U.S., offering 8,823,529 American Depositary Shares (ADSs) at $18.00 each, raising approximately $158.8 million. All ADSs are sold by Freeline. The shares will start trading on Nasdaq under ticker symbol FRLN on August 7, 2020. Additionally, the underwriters have a 30-day option to purchase 1,323,529 ADSs at the IPO price. The offering is set to close on August 11, 2020, pending customary conditions.

Positive

• IPO priced at $18.00 per ADS, raising about $158.8 million.
• Funds intended for advancing AAV-based gene therapy targeting liver diseases.

Negative

• Potential dilution if underwriters exercise their option for additional shares.

LONDON, Aug. 07, 2020 (GLOBE NEWSWIRE) -- Freeline Therapeutics Holdings plc (“Freeline”), a clinical-stage, fully integrated, next generation, systemic AAV-based gene therapy company with the ambition of transforming the lives of patients suffering from inherited systemic debilitating diseases, today announced the pricing of its initial public offering in the United States of 8,823,529 American Depositary Shares (“ADSs”) representing 8,823,529 ordinary shares at an initial public offering price of $18.00 per ADS for total gross proceeds of approximately $158.8 million. All ADSs sold in the offering were offered by Freeline. The ADSs are expected to begin trading on The Nasdaq Global Select Market on 7 August 2020 under the ticker symbol “FRLN.”  In addition, Freeline has granted the underwriters a 30-day option to purchase up to an additional 1,323,529 ADSs at the initial public offering price, less underwriting discounts and commissions. The offering is expected to close on 11 August 2020, subject to customary closing conditions.

J.P. Morgan Securities LLC, Morgan Stanley & Co. LLC and Evercore Group L.L.C. are acting as joint book-running managers for the offering. Wedbush Securities Inc. is acting as lead manager.

A registration statement relating to these securities became effective on August 6, 2020. The offering will be made only by means of a prospectus. When available, copies of the final prospectus related to the offering can be obtained from any of the joint book-running managers for the offering: J.P. Morgan Securities LLC, c/o Broadridge Financial Solutions, 1155 Long Island Avenue, Edgewood, NY 11717, or by telephone at (866) 803-9204, or by email at prospectus-eq_fi@jpmchase.com; Morgan Stanley & Co. LLC, 180 Varick Street, 2nd Floor, New York, NY 10014, Attention: Prospectus Department, by telephone at (866) 718-1649 or by emailing prospectus@morganstanley.com; or Evercore Group L.L.C., Attention: Equity Capital Markets, 55 East 52nd Street, 36th Floor, New York, NY 10055, by telephone at (888) 474-0200, or by email at ecm.prospectus@evercore.com. For the avoidance of doubt, such prospectus will not constitute a “prospectus” for the purposes of Regulation (EU) 2017/1129 (the “Prospectus Regulation”) and will not have been reviewed by any competent authority in any EU member state or the UK.

A registration statement relating to these securities has been filed with, and declared effective by, the U.S. Securities and Exchange Commission (the “SEC”). Copies of the registration statement can be accessed through the SEC’s website at www.sec.gov. This press release does not constitute an offer to sell or the solicitation of an offer to buy securities, and shall not constitute an offer, solicitation or sale in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of that jurisdiction.

In any member state of the European Economic Area (the "EEA") this announcement and any offering are only addressed to and directed at persons who are "qualified investors" ("Qualified Investors") within the meaning of the Prospectus Regulation. In the United Kingdom, this announcement and any offering are only addressed to and directed at Qualified Investors (i) who have professional experience in matters relating to investments falling within Article 19(5) of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005, as amended (the "Order"), (ii) high net worth entities who fall within Article 49(2)(a) to (d) of the Order, or (iii) to whom it may otherwise lawfully be communicated (all such persons being referred to as "relevant persons").

This announcement must not be acted on or relied on (i) in the United Kingdom, by persons who are not relevant persons, and (ii) in any member state of the EEA, by persons who are not Qualified Investors. Any investment or investment activity to which this announcement relates is available only to and will only be engaged with (i) in the United Kingdom, relevant persons, and (ii) in any member state of the EEA, Qualified Investors.

Media Contact:

JW Communications
Julia Wilson
+44 (0)7818 430877
juliawilsonuk@gmail.com

About Freeline

Freeline is a clinical-stage biotechnology company focused on AAV-based gene therapy targeting the liver. Its vision is to create better lives for people suffering from chronic, systemic diseases using the potential of gene therapy as a one-time treatment to provide a potential functional cure. Freeline is headquartered in the U.K. and has operations in Germany and the U.S.

Forward-Looking Statements

This press release contains certain forward-looking statements, including statements with regard to Freeline’s expectations regarding the commencement of trading of ADSs on The Nasdaq Global Select Market and the completion of the proposed securities offering. Words such as “anticipates,” "believes," “expects,” "intends," "projects," "anticipates," and "future" or similar expressions are intended to identify forward-looking statements. These forward-looking statements are subject to the inherent uncertainties in predicting future results and conditions and no assurance can be given that the proposed securities offering discussed above will be consummated on the terms described or at all. Completion of the proposed offering and the terms thereof are subject to numerous factors, many of which are beyond the control of Freeline, including, without limitation, market conditions, failure of customary closing conditions and the risk factors and other matters set forth in Freeline’s filings with the SEC. Freeline undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as may be required by law.

FAQ

What is the IPO price for Freeline Therapeutics' ADSs?

The IPO price is $18.00 per American Depositary Share.

How much is Freeline expected to raise from its IPO?

Freeline is expected to raise approximately $158.8 million from the IPO.

When will the ADSs start trading on Nasdaq?

The ADSs are expected to begin trading on Nasdaq on August 7, 2020.

What is the symbol for Freeline's ADSs on Nasdaq?

The symbol for Freeline's ADSs on Nasdaq is FRLN.

What is the closing date for Freeline's IPO?

The IPO is expected to close on August 11, 2020, subject to customary closing conditions.