Replimune Announces Proposed Public Offering

Rhea-AI Summary

Replimune Group, Inc. (Nasdaq: REPL) announced a proposed public offering of $80 million in common stock, alongside pre-funded warrants for certain investors. The offering includes a 30-day option for underwriters to purchase an additional $12 million in shares. The offering is subject to market conditions and customary closing criteria. J.P. Morgan Securities LLC, SVB Leerink LLC, and BMO Capital Markets Corp. are the joint book-running managers. All sales will be conducted under a previously filed shelf registration statement.

Positive

• Proposed public offering totaling $80 million may bolster capital for operations and development.
• Additional $12 million option may provide further financial support.

Negative

• Potential shareholder dilution from the offering.
• Market uncertainty regarding the timing and completion of the offering.

BOSTON, June 08, 2020 (GLOBE NEWSWIRE) -- Replimune Group, Inc. (Nasdaq: REPL), a biotechnology company developing oncolytic immuno-gene therapies derived from its Immulytic™ platform, today announced a proposed public offering of $80 million of shares of its common stock and, in lieu of common stock to certain investors, pre-funded warrants to purchase shares of its common stock. All securities in the offering will be offered by Replimune. In addition, Replimune intends to grant the underwriters a 30-day option to purchase up to an additional $12 million of shares of its common stock from Replimune at the public offering price, less the underwriting discounts and commissions.

J.P. Morgan Securities LLC, SVB Leerink LLC, and BMO Capital Markets Corp. are acting as joint book-running managers for the proposed offering. Wedbush Securities Inc. is acting as lead manager for the proposed offering. The proposed offering is subject to market and other customary closing conditions, and Replimune cannot assure you as to whether or when the proposed offering may be completed.

The proposed offering will be made only by means of a preliminary prospectus supplement and the accompanying prospectus. A copy of the preliminary prospectus supplement and the accompanying prospectus relating to the proposed offering will be filed with the Securities and Exchange Commission (the “SEC”) and may be obtained, when available, by visiting EDGAR on the SEC website at www.sec.gov or from: J.P. Morgan Securities LLC, Attention: Broadridge Financial Solutions, 1155 Long Island Avenue, Edgewood, NY 11717, by telephone at (866) 803-9204, or by e-mail at prospectus-eq_fi@jpmorgan.com; SVB Leerink LLC, Attention: Syndicate Department, One Federal Street, 37th Floor, Boston, MA 02110, by telephone at (800) 808-7525, ext. 6218, or by e-mail at syndicate@svbleerink.com; or BMO Capital Markets Corp., Attention: Equity Syndicate Department, 3 Times Square, 25th Floor, New York, NY 10036, by telephone at (800) 414-3627 or by e-mail at bmoprospectus@bmo.com. The final terms of the proposed offering will be disclosed in a final prospectus supplement to be filed with the SEC.

The shares of common stock and pre-funded warrants described above are being offered by Replimune pursuant to its shelf registration statement on Form S-3, including a base prospectus, that was previously filed by Replimune with the SEC on August 8, 2019 and declared effective by the SEC on August 15, 2019. This press release shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of securities, in any state or jurisdiction in which such an offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.

About Replimune
Replimune Group, Inc., headquartered in Woburn, MA, was founded in 2015 to develop the next generation of oncolytic immuno-gene therapies for the treatment of cancer. Replimune is developing novel, proprietary therapeutics intended to improve the direct cancer-killing effects of selective virus replication and the potency of the immune response to the tumor antigens released. Replimune’s Immulytic™ platform is designed to maximize systemic immune activation, in particular to tumor neoantigens, through robust viral-mediated immunogenic tumor cell killing and the delivery of optimal combinations of immune-activating proteins to the tumor and draining lymph nodes.

Forward-Looking Statements
This press release contains forward looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, including statements regarding the timing and size of our proposed public offering and our expectations with respect to granting the underwriters a 30-day option to purchase additional shares of our common stock, our goals to develop and commercialize our product candidates, and other statements identified by words such as “could”, “expects”, “intends”, “may”, “plans”, “potential”, “should”, “will”, “would”, or similar expressions and the negatives of those terms. Forward-looking statements are not promises or guarantees of future performance, and are subject to a variety of risks and uncertainties, many of which are beyond our control, and which could cause actual results to differ materially from those contemplated in such forward-looking statements. These factors include risks related to our limited operating history, our ability to generate positive clinical trial results for our product candidates, the costs of operating our in-house manufacturing facility, the timing and scope of regulatory approvals, changes in laws and regulations to which we are subject, competitive pressures, our ability to identify additional product candidates, political and global macro factors including the impact of the coronavirus as a global pandemic and related public health issues, and other risks as may be detailed from time to time in our Annual Reports on Form 10-K and Quarterly Reports on Form 10-Q and other reports we file with the SEC, and in the preliminary prospectus supplement once filed with the SEC and the accompanying prospectus. Our actual results could differ materially from the results described in or implied by such forward-looking statements. Forward-looking statements speak only as of the date hereof, and, except as required by law, we undertake no obligation to update or revise these forward-looking statements.

Investor Inquiries
Chris Brinzey
Westwicke, an ICR Company
339.970.2843
chris.brinzey@westwicke.com

FAQ

What is the purpose of Replimune's $80 million public offering?

The offering aims to raise capital for operations and the development of oncolytic immuno-gene therapies.

Who are the underwriters for Replimune's stock offering?

J.P. Morgan Securities LLC, SVB Leerink LLC, and BMO Capital Markets Corp. are acting as joint book-running managers.

What additional shares can underwriters purchase in Replimune's offering?

Underwriters have a 30-day option to purchase up to an additional $12 million in shares at the public offering price.

How might Replimune's offering impact its shareholders?

The public offering may lead to shareholder dilution, affecting existing shareholders' equity.

When was Replimune's shelf registration statement filed?

The shelf registration statement was filed on August 8, 2019, and declared effective on August 15, 2019.