Marinus Pharmaceuticals Announces Closing of $46 Million Public Offering of Common Stock Including Full Exercise of Underwriters’ Option to Purchase Additional Shares

Rhea-AI Summary

Marinus Pharmaceuticals (NASDAQ: MRNS) announced the closing of an underwritten public offering of 18.4 million shares at $2.50 per share, raising approximately $46 million in gross proceeds. The offering included an option for underwriters to purchase an additional 2.4 million shares. Proceeds will be used for product development, working capital, and general corporate purposes. Cowen and Cantor Fitzgerald acted as lead managers for the offering, conducted under SEC registration.

Positive

• Raised approximately $46 million to fund product development and general corporate purposes.
• Funds will support ongoing clinical trials for innovative therapies targeting rare seizure disorders.

Negative

• Shareholder dilution due to the issuance of 18.4 million shares.

RADNOR, Pa., June 02, 2020 (GLOBE NEWSWIRE) -- Marinus Pharmaceuticals, Inc. (NASDAQ: MRNS), (“Marinus” or the “Company”) today announced the closing of an underwritten public offering of 18,400,000 shares of common stock at a public offering price of $2.50 per share, including the exercise in full by the underwriters of their option to purchase up to 2,400,000 additional shares of common stock. The offering raised gross proceeds of approximately $46 million, before deducting underwriting discounts and commissions and other offering expenses payable by the Company.

Cowen and Cantor Fitzgerald & Co. acted as lead book-running managers for the offering. SunTrust Robinson Humphrey acted as a bookrunner for the offering. Oppenheimer & Co. Inc. acted as lead manager for the offering. H.C. Wainwright & Co. acted as co-manager for the offering.

Marinus intends to use the net proceeds of the offering to fund the development of its product candidates and for general corporate purposes, which may include working capital, capital expenditures, research and development expenditures, clinical trial expenditures, acquisitions of new technologies, products or businesses, and investments.

The shares of common stock described above were offered by the Company pursuant to a registration statement on Form S-3 (No. 333-221243) previously filed with the U.S. Securities and Exchange Commission (the “SEC”) and declared effective by the SEC on December 1, 2017. A preliminary prospectus supplement related to the public offering was filed with the SEC on May 28, 2020. A final prospectus supplement relating to the public offering was filed with the SEC and is available on the SEC’s website located at http://www.sec.gov. Electronic copies of the final prospectus supplement and the accompanying prospectus may be obtained from Cowen and Company, LLC, c/o Broadridge Financial Solutions, 1155 Long Island Avenue, Edgewood, New York 11717, Attn: Prospectus Department, by telephone at (833) 297-2926, or by email at PostSaleManualRequests@broadridge.com, or Cantor Fitzgerald & Co., 499 Park Avenue, 6th Floor, New York, New York 10022, Attn: Capital Markets Department, or by email at prospectus@cantor.com.

This press release does not constitute an offer to sell or the solicitation of offers to buy any securities of Marinus being offered, and shall not constitute an offer, solicitation or sale of any security 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 Marinus Pharmaceuticals

Marinus Pharmaceuticals, Inc. is a pharmaceutical company dedicated to the development of innovative therapeutics to treat rare seizure disorders. Ganaxolone is a positive allosteric modulator of GABA_A receptors that acts on a well-characterized target in the brain known to have anti-seizure, anti-depressant, and anti-anxiety effects. Ganaxolone is being developed in IV and oral dose forms intended to maximize therapeutic reach to adult and pediatric patient populations in both acute and chronic care settings. Marinus is conducting the first ever Phase 3 pivotal trial in children with CDKL5 deficiency disorder, along with a Phase 2 trial in Tuberous Sclerosis Complex, and a Phase 2 biomarker driven proof of concept trial in PCDH19-related epilepsy. The Company intends to initiate a Phase 3 trial in status epilepticus.

Forward-Looking Statements

To the extent any statements made in this press release deal with information that is not historical, these are forward-looking statements under the Private Securities Litigation Reform Act of 1995. Such statements include, but are not limited to, statements regarding the anticipated use of proceeds for the proposed offering and other statements identified by words such as “will,” “potential,” “could,” “can,” “believe,” “intends,” “continue,” “plans,” “expects,” “anticipates,” “estimates,” “may,” other words of similar meaning or the use of future dates. Forward-looking statements by their nature address matters that are, to different degrees, uncertain. Uncertainties and risks may cause the Company’s actual results to be materially different than those expressed in or implied by the Company’s forward-looking statements. For the Company, this includes obtaining regulatory approvals, stock price volatility and the impact of general business and economic conditions. More detailed information on these and additional factors that could affect the Company’s actual results are described in the Company’s filings with the Securities and Exchange Commission, including its annual report on Form 10-K for the year ended December 31, 2019 and subsequent quarterly reports on Form 10-Q. All forward-looking statements in this news release speak only as of the date of this news release. The Company undertakes no obligation to update or revise any forward-looking statement, whether as a result of new information, future events or otherwise.

Contact

Sasha Damouni Ellis
Vice President, Investor Relations & Corporate Communications
Marinus Pharmaceuticals, Inc.
484-253-6792
sdamouni@marinuspharma.com

FAQ

What was the offering size and price for Marinus Pharmaceuticals (MRNS)?

Marinus Pharmaceuticals closed an offering of 18.4 million shares at $2.50 per share.

How much capital did Marinus Pharmaceuticals raise in their recent offering?

The offering raised approximately $46 million in gross proceeds.

What will Marinus Pharmaceuticals use the proceeds from the offering for?

The proceeds will be used for product development, working capital, and general corporate purposes.

Who were the lead underwriters for Marinus Pharmaceuticals' stock offering?

Cowen and Cantor Fitzgerald acted as lead book-running managers for the offering.

Is there a risk of dilution for shareholders after the offering by Marinus Pharmaceuticals?

Yes, the issuance of 18.4 million shares may lead to shareholder dilution.