Silk Road Medical Announces Full Exercise and Closing of Over-Allotment Option

Rhea-AI Summary

Silk Road Medical (NASDAQ: SILK) announced a public offering of 6,808,154 shares, with underwriters fully exercising their option to buy an additional 1,021,223 shares at $39.00 each. The offering, managed by J.P. Morgan and BofA Securities, followed an automatic shelf registration effective May 5, 2020. Silk Road Medical did not receive proceeds from the additional shares sold by securityholders. The company specializes in reducing stroke risk, with its key procedure, TransCarotid Artery Revascularization (TCAR), clinically proven to treat carotid artery blockages.

Positive

• Successful public offering of 6,808,154 shares with strong demand leading to additional sale of 1,021,223 shares.
• Shares being offered at $39.00 may indicate confidence in company valuation.

Negative

• Silk Road Medical did not receive any proceeds from the additional shares sold by securityholders, potentially limiting financial growth.

SUNNYVALE, Calif., May 20, 2020 (GLOBE NEWSWIRE) -- Silk Road Medical, Inc. (Nasdaq: SILK) (“Silk Road Medical”), a company focused on reducing the risk of stroke and its devastating impact, today announced that in connection with its previously announced public offering of 6,808,154 shares of its common stock, the underwriters fully exercised and closed on their option to purchase up to an additional 1,021,223 shares of common stock from certain selling securityholders at the public offering price of $39.00 per share, less the underwriting discounts and commissions. Silk Road Medical did not receive proceeds from the sale of its common stock by the selling securityholders.

J.P. Morgan and BofA Securities acted as joint book-running managers of the offering. Citigroup also acted as book-running manager. Stifel acted as co-manager.

The public offering was made pursuant to an automatic shelf registration statement on Form S-3 that was filed by Silk Road Medical with the U.S. Securities and Exchange Commission (the “SEC”) and became effective on May 5, 2020. A prospectus supplement and accompanying prospectus relating to and describing the terms of the offering have been filed with the SEC and are available on the SEC’s website at www.sec.gov. Copies of the prospectus supplement and accompanying prospectus may be obtained by contacting: J.P. Morgan Securities LLC, Attention: Broadridge Financial Solutions, 1155 Long Island Avenue, Edgewood, NY 11717 or by email: prospectus-eq_fi@jpmchase.com; or BofA Securities, NC1-004-03-43, 200 North College Street, 3rd Floor, Charlotte, NC 28255-0001, Attention: Prospectus Department, or by email: dg.prospectus_requests@bofa.com.

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 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 Silk Road Medical
Silk Road Medical, Inc. (NASDAQ: SILK), is a medical device company located in Sunnyvale, California, that is focused on reducing the risk of stroke and its devastating impact. The company’s flagship procedure, TransCarotid Artery Revascularization (TCAR), is clinically proven to treat blockages in the carotid artery at risk of causing a stroke.

Forward-Looking Statements
This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934 and the Private Securities Litigation Reform Act of 1995. These statements include statements regarding an offering of Silk Road Medical’s common stock. Such statements are based on current assumptions that involve risks and uncertainties that could cause actual outcomes and results to differ materially. These risks and uncertainties, many of which are beyond our control, include, among others, the risks described in Silk Road Medical’s prospectus supplement dated May 5, 2020, the accompanying prospectus dated May 5, 2020, and the documents incorporated in the prospectus supplement and the prospectus by reference. These forward-looking statements speak only as of the date hereof and should not be unduly relied upon. Silk Road Medical disclaims any obligation to update these forward-looking statements.

Investors:
Lynn Lewis or Caroline Paul
Gilmartin Group
investors@silkroadmed.com

Media:
Michael Fanucchi
Silk Road Medical
mfanucchi@silkroadmed.com

FAQ

What is the total number of shares offered by Silk Road Medical in the recent public offering?

Silk Road Medical offered a total of 6,808,154 shares in the public offering.

What was the share price in Silk Road Medical's public offering?

The shares were offered at a public price of $39.00 each.

Did Silk Road Medical receive proceeds from the additional shares sold?

No, Silk Road Medical did not receive any proceeds from the sale of the additional shares by selling securityholders.

Who managed the public offering for Silk Road Medical?

J.P. Morgan and BofA Securities acted as joint book-running managers for the offering.

What is the main focus of Silk Road Medical's business?

Silk Road Medical focuses on reducing the risk of stroke through its medical device innovations, particularly the TCAR procedure.