Iveric Bio Announces Pricing of $300 Million Public Offering of Common Stock

Rhea-AI Summary

Iveric bio, Inc. (Nasdaq: ISEE) has announced the pricing of an upsized public offering of 13,350,000 shares of common stock at $22.50 per share, aiming for gross proceeds of approximately $300.4 million. The underwriters have a 30-day option to purchase an additional 2,002,500 shares. The offering is expected to close on or around December 5, 2022. This capital raise is intended to support the company’s ongoing programs in retinal diseases.

Positive

• Expected gross proceeds of approximately $300.4 million for company funding.
• Upsized offering may indicate strong market confidence.
• Intended use of funds to support development in retinal diseases.

Negative

• Issuance of new shares may lead to shareholder dilution.

PARSIPPANY, N.J.--(BUSINESS WIRE)-- IVERIC bio, Inc. (Nasdaq: ISEE) (the “Company”), today announced the pricing of an upsized underwritten public offering of 13,350,000 shares of its common stock at a price to the public of $22.50 per share, less underwriting discounts and commissions. In addition, in connection with the offering, the Company has granted the underwriters an option for a period of 30 days to purchase up to an additional 2,002,500 shares of its common stock at the public offering price, less underwriting discounts and commissions. All of the shares are being offered by the Company.

The gross proceeds from the offering are expected to be approximately $300.4 million, before underwriting discounts and commissions and offering expenses payable by the Company, and without giving effect to any exercise by the underwriters of their option to purchase additional shares.

Morgan Stanley, BofA Securities, Cowen and Stifel are acting as the book-running managers for the offering. Wedbush PacGrow is acting as lead manager for the offering. The offering is expected to close on or about December 5, 2022, subject to customary closing conditions.

The offering is being made only by means of a prospectus supplement and accompanying prospectus that form a part of an automatically effective registration statement. A final prospectus supplement related to the offering will be filed with the Securities and Exchange Commission (the “SEC”) and will be available on the SEC’s website at www.sec.gov. Copies of the final prospectus supplement and the accompanying prospectus relating to the offering may also be obtained, when available, by contacting: Morgan Stanley, 180 Varick Street, 2^nd Floor, New York, NY 10014, Attn: Prospectus Department, by telephone: 1-866-718-1649, or by email at prospectus@morganstanley.com; BofA Securities, 200 North College Street, 3^rd floor, Charlotte, NC (28255-0001), Attn: Prospectus Department, by telephone: 1-800-294-1322, or by email at dg.prospectus_requests@bofa.com; Cowen and Company, LLC, c/o Broadridge Financial Solutions, 1155 Long Island Avenue, Edgewood, NY 11717, by telephone: 1-833-297-2926, or by email at PostSaleManualRequests@broadridge.com; or Stifel, Nicolaus & Company, Incorporated, Attention: Prospectus Department, One Montgomery Street, Suite 3700, San Francisco, CA 94104, by telephone: 1-415-364-2720, or by email at syndprospectus@stifel.com.

This press release does 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 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 Iveric Bio

Iveric Bio is a science-driven biopharmaceutical company focused on the discovery and development of novel treatments for retinal diseases with significant unmet medical needs. The Company is committed to having a positive impact on patients’ lives by delivering high-quality, safe and effective treatments designed to address debilitating retinal diseases including earlier stages of age-related macular degeneration.

Forward-Looking Statements

Any statements in this press release about the Company’s future expectations, plans and prospects, including statements regarding the offering, constitute forward-looking statements for purposes of the safe harbor provisions under the Private Securities Litigation Reform Act of 1995. Forward-looking statements include any statements about the Company’s strategy, future operations and future expectations and plans and prospects for the Company, and any other statements containing the words “anticipate,” “believe,” “estimate,” “expect,” “intend”, “goal,” “future”, “may”, “might,” “plan,” “predict,” “project,” “seek,” “target,” “potential,” “will,” “would,” “could,” “should,” “continue,” and similar expressions. Such forward-looking statements involve substantial risks and uncertainties that could cause the Company’s 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 potential completion of the offering, satisfaction of customary closing conditions related to the offering, those related to the actual and expected effects of the COVID-19 pandemic, other macro-economic events and related response measures on the Company’s business and operations, the timing, costs, conduct and outcome of the Company’s ongoing and planned research and preclinical development activities and clinical trials, the Company’s ability to establish and maintain capabilities and capacity for the manufacture of its product candidates, the Company’s competitive position, the Company’s expectations regarding the market dynamics for treatments for GA and other commercial matters, the Company’s personnel and human capital resources, need for, and ability to obtain, additional financing, plans and ability to consummate business development transactions, whether the Company’s cash resources will be sufficient to fund its foreseeable and unforeseeable operating expenses and capital requirements on its expected timelines, and other factors discussed in the “Risk Factors” section contained in the preliminary prospectus supplement and the reports that the Company files with the SEC. Any forward-looking statements represent the Company’s views only as of the date of this press release. The Company anticipates that subsequent events and developments may cause its views to change. While the Company may elect to update these forward-looking statements at some point in the future, the Company specifically disclaims any obligation to do so except as required by law.

 

View source version on businesswire.com: https://www.businesswire.com/news/home/20221130006219/en/

Investor Contact:

Iveric Bio

Kathy Galante

Senior Vice President, Investor Relations

kathy.galante@ivericbio.com

or

Media Contact:

Jeannie Neufeld

Senior Director, Public Relations & Communications

jeannie.neufeld@ivericbio.com

Source: IVERIC bio, Inc.

FAQ

What are the details of Iveric bio's recent stock offering?

Iveric bio is offering 13,350,000 shares at $22.50 each, with potential additional 2,002,500 shares for underwriters.

What are the expected proceeds from the Iveric bio stock offering?

The gross proceeds are expected to be approximately $300.4 million before expenses.

When is the expected closing date for Iveric bio's offering?

The offering is expected to close on or around December 5, 2022.

Will the stock offering of Iveric bio dilute existing shareholders?

Yes, the issuance of new shares may dilute the ownership percentage of existing shareholders.