Travere Therapeutics Announces Completion of Public Offering of Common Stock and Exercise in Full of Underwriters’ Option to Purchase Additional Shares

Rhea-AI Summary

Travere Therapeutics has completed its previously announced public offering of 8,984,375 shares of common stock at $16.00 per share, including 1,171,875 shares from the full exercise of underwriters' option. The offering generated gross proceeds of approximately $143.8 million before deducting underwriting discounts and expenses. Jefferies and Leerink Partners served as joint book-running managers, with Wedbush PacGrow as co-manager. The offering was made pursuant to a shelf registration statement that became effective on August 1, 2024.

Positive

• Successfully raised $143.8 million in gross proceeds
• Full exercise of underwriters' option indicates strong demand
• Completed offering at $16.00 per share

Negative

• Potential dilution of existing shareholders due to issuance of 8.98M new shares

Insights

Financial Analyst

The completion of this $143.8 million public offering significantly strengthens Travere's balance sheet and provides important growth capital. At $16.00 per share, the offering represents approximately 10% dilution with 8.98M new shares issued. The full exercise of the underwriters' option indicates strong institutional interest and demand. Key positives:

• Strengthened cash position enhances operational runway
• Backing from major underwriters Jefferies and Leerink adds credibility
• Successful raise despite challenging biotech market conditions

However, existing shareholders should note the dilutive impact on their ownership stakes. The timing and pricing suggest management's focus on ensuring adequate funding for ongoing commercial and development activities.

SAN DIEGO, Nov. 12, 2024 (GLOBE NEWSWIRE) -- Travere Therapeutics, Inc. (Nasdaq: TVTX) today announced the completion of its previously announced underwritten public offering of 8,984,375 shares of its common stock at a price to the public of $16.00 per share, including 1,171,875 shares sold pursuant to the exercise in full of the underwriters’ option to purchase additional shares. All of the shares were sold by Travere. Including the option exercise, the aggregate gross proceeds from the offering were approximately $143.8 million, before deducting the underwriting discounts and commissions and offering expenses.

Jefferies and Leerink Partners acted as the joint book-running managers for the offering and Wedbush PacGrow acted as co-manager.

The shares of common stock described above were offered by Travere pursuant to a shelf registration statement filed by Travere with the Securities and Exchange Commission (SEC) that became automatically effective on August 1, 2024. A final prospectus supplement and accompanying prospectus related to the offering have been filed with the SEC and are available on the SEC’s website located at http://www.sec.gov. Copies of the final prospectus supplement and the accompanying prospectus related to this offering may be obtained from Jefferies LLC, Attention: Equity Syndicate Prospectus Department, 520 Madison Avenue, New York, NY 10022, by telephone at (877) 821-7388, or by email at Prospectus_Department@Jefferies.com; or from Leerink Partners LLC, Attention: Syndicate Department, 53 State Street, 40th Floor, Boston, MA 02109, or by telephone at (800) 808-7525, ext. 6105, or by email at syndicate@leerink.com.

This press release shall not constitute an offer to sell or the 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 Travere Therapeutics

At Travere Therapeutics we are in rare for life. We are a biopharmaceutical company that comes together every day to help patients, families and caregivers of all backgrounds as they navigate life with a rare disease. On this path, we know the need for treatment options is urgent – that is why our global team works with the rare disease community to identify, develop and deliver life-changing therapies. In pursuit of this mission, we continuously seek to understand the diverse perspectives of rare patients and to courageously forge new paths to make a difference in their lives and provide hope – today and tomorrow.

Contact:
888-969-7879
IR@travere.com

FAQ

How much did Travere Therapeutics (TVTX) raise in its November 2024 public offering?

Travere Therapeutics raised approximately $143.8 million in gross proceeds through the public offering of 8,984,375 shares at $16.00 per share.

What was the price per share for TVTX's November 2024 public offering?

The public offering price was $16.00 per share.

How many additional shares were sold through the underwriters' option for TVTX?

The underwriters exercised their option in full to purchase an additional 1,171,875 shares.

Who were the book-running managers for Travere's 2024 public offering?

Jefferies and Leerink Partners acted as joint book-running managers, with Wedbush PacGrow as co-manager.