IDEAYA Announces Pricing of Public Offering

Rhea-AI Summary

On April 24, 2023, IDEAYA Biosciences (Nasdaq: IDYA) announced a public offering of common stock, pricing 7,439,201 shares at $18.50 each, alongside pre-funded warrants for an additional 2,020,270 shares at $18.4999 each. The total expected gross proceeds from the offering are approximately $175 million before deductions. Underwriters J.P. Morgan, Jefferies, and Citigroup are overseeing the offering, which is anticipated to close around April 27, 2023, pending customary conditions. Additionally, the company has granted underwriters a 30-day option to purchase up to 1,418,920 more shares at the offering price. This public offering is conducted under a previously filed shelf registration statement with the SEC.

Positive

• Expected gross proceeds of approximately $175 million to support further development.
• Underwriters granted a 30-day option to purchase additional shares, indicating market interest.

Negative

• Public offering may lead to potential dilution of existing shareholders' equity.

SOUTH SAN FRANCISCO, Calif., April 24, 2023 /PRNewswire/ -- IDEAYA Biosciences, Inc. (Nasdaq:IDYA) today announced the pricing of an underwritten public offering of common stock and pre-funded warrants. IDEAYA is selling 7,439,201 shares of common stock and pre-funded warrants to purchase 2,020,270 shares of common stock in the offering. The shares of common stock are being sold at a public offering price of $18.50 per share, before underwriting discounts and commissions, and the pre-funded warrants are being sold at a public offering price of $18.4999 per pre-funded warrant. The exercise price of the pre-funded warrants is $0.0001 per share. In addition, IDEAYA has granted the underwriters a 30-day option to purchase up to an additional 1,418,920 shares of its common stock at the public offering price per share, before underwriting discounts and commissions. The aggregate gross proceeds to IDEAYA from this offering are expected to be approximately $175,000,000, before deducting underwriting discounts and commissions and other offering expenses, and excluding the exercise of any pre-funded warrants.

The offering is expected to close on or about April 27, 2023, subject to the satisfaction of customary closing conditions.

J.P. Morgan, Jefferies, and Citigroup are acting as joint book-running managers for the offering. RBC Capital Markets and Oppenheimer & Co. are acting as lead managers for the offering.

The securities described above are being offered by IDEAYA pursuant to a shelf registration statement on Form S-3 that was previously filed with and declared effective by the U.S. Securities and Exchange Commission, or the SEC. The offering is being made only by means of a written prospectus and prospectus supplement that form a part of the registration statement, copies of which may be obtained, when available, by request from: J.P. Morgan, by mail at 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@jpmorganchase.com; Jefferies, by mail at Jefferies LLC, Attention: Equity Syndicate Prospectus Department, 520 Madison Avenue, New York, NY 10022, or by telephone at 877-547-6340 or 877-821-7388, or by email at Prospectus_Department@Jefferies.com; Citigroup, by mail at Citigroup Global Markets Inc., c/o Broadridge Financial Solutions, 1155 Long Island Avenue, Edgewood, NY 11717, or by telephone at 1-800-831-9146; RBC Capital Markets, LLC, Attention: Equity Capital Markets, 200 Vesey Street, 8th Floor, New York, New York 10281, by telephone at (877) 822-4089 or by email at equityprospectus@rbccm.com; or Oppenheimer & Co. Inc., Attention: Syndicate Prospectus Department, 85 Broad Street, 26th Floor, New York, NY 10004, by telephone at 212-667-8055, or by email at EquityProspectus@opco.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 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 IDEAYA Biosciences

IDEAYA is a synthetic lethality focused precision medicine oncology company committed to the discovery and development of targeted therapeutics for patient populations selected using molecular diagnostics. IDEAYA's approach integrates capabilities in identifying and validating translational biomarkers with drug discovery to select patient populations most likely to benefit from its targeted therapies. IDEAYA is applying its research and drug discovery capabilities to synthetic lethality – which represents an emerging class of precision medicine targets. 

Legal Notice Regarding Forward-Looking Statements

This press release contains forward-looking statements. All statements other than statements of historical facts contained herein, including without limitation statements regarding the expected closing of the public offering, are forward-looking statements reflecting the current beliefs and expectations of management made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements involve substantial risks and uncertainties that could cause IDEAYA's preclinical and clinical development programs, future results, performance or achievements to differ significantly from those expressed or implied by the forward-looking statements. Such risks and uncertainties include, among others, the uncertainties inherent in the drug development process, including IDEAYA's programs' early stage of development, the process of designing and conducting preclinical and clinical trials, the regulatory approval processes, the timing of regulatory filings, the challenges associated with manufacturing drug products, IDEAYA's ability to successfully establish, protect and defend its intellectual property, the effects on IDEAYA's business of the worldwide COVID-19 pandemic, and other matters that could affect the sufficiency of existing cash to fund operations. IDEAYA undertakes no obligation to update or revise any forward-looking statements. For a further description of the risks and uncertainties that could cause actual results to differ from those expressed in these forward-looking statements, as well as risks relating to the business of IDEAYA in general, see IDEAYA's recent Annual Report on Form 10-K filed on March 7, 2023, the preliminary prospectus supplement related to the proposed public offering and subsequent filings with the SEC.

Investor and Media Contact
IDEAYA Biosciences
Paul Stone
Senior Vice President and Chief Financial Officer
investor@ideayabio.com

 

View original content to download multimedia:https://www.prnewswire.com/news-releases/ideaya-announces-pricing-of-public-offering-301806281.html

SOURCE IDEAYA Biosciences, Inc.

FAQ

What is the total gross proceeds from IDEAYA's public offering announced on April 24, 2023?

The total expected gross proceeds from the offering are approximately $175 million.

How many shares is IDEAYA offering in its public offering?

IDEAYA is offering 7,439,201 shares of common stock and pre-funded warrants for 2,020,270 shares.

When is IDEAYA's public offering expected to close?

The offering is anticipated to close on or about April 27, 2023.

What is the price per share for IDEAYA's public offering?

The shares are being sold at a public offering price of $18.50 per share.

Who are the underwriters for IDEAYA's public offering?

J.P. Morgan, Jefferies, and Citigroup are the joint book-running managers for the offering.