Xenon Pharmaceuticals Announces Closing of $287.5 Million Public Offering Including Full Exercise of the Underwriters’ Option to Purchase Additional Shares

Rhea-AI Summary

Xenon Pharmaceuticals has successfully closed its underwritten public offering of 9,098,362 common shares, raising approximately $287.5 million in gross proceeds. The offering included 1,229,508 shares from the underwriters’ option and 327,868 pre-funded warrants. Each common share was priced at $30.50, while pre-funded warrants were offered at $30.4999 with an exercise price of $0.0001. Major underwriters for this offering included Jefferies, J.P. Morgan, SVB Securities, and Stifel.

Positive

• Raised approximately $287.5 million in gross proceeds.
• Engaged reputable underwriters like Jefferies and J.P. Morgan.

Negative

• Potential dilution of existing shares due to the public offering.

BURNABY, British Columbia, June 27, 2022 (GLOBE NEWSWIRE) -- Xenon Pharmaceuticals Inc. (Nasdaq:XENE), a clinical stage biopharmaceutical company, today announced the closing of its previously announced underwritten public offering of 9,098,362 common shares, which includes 1,229,508 shares sold upon the full exercise of the underwriters’ option to purchase additional shares, and pre-funded warrants to purchase 327,868 common shares. The common shares were offered at a public offering price of $30.50 per common share and the pre-funded warrants were offered at a price of $30.4999 per pre-funded warrant, with each pre-funded warrant having an exercise price of $0.0001. The aggregate gross proceeds to Xenon from the offering, before deducting underwriting discounts and commissions and other offering expenses payable by Xenon, were approximately $287.5 million.

Jefferies, J.P. Morgan, SVB Securities and Stifel acted as joint book-running managers for the offering.

An automatically effective shelf registration statement relating to the securities offered in the public offering described above was filed with the Securities and Exchange Commission (SEC) on October 4, 2021. The offering was made only by means of a written prospectus and prospectus supplement that form a part of the registration statement. A final prospectus supplement and accompanying prospectus relating to the offering was filed with the SEC on June 23, 2022 and are available on the SEC’s website at www.sec.gov. Copies of the final prospectus supplement and the accompanying prospectus may also be obtained by contacting Jefferies LLC, Attention: Equity Syndicate Prospectus Department, 520 Madison Avenue, New York, NY 10022, or by email at Prospectus_Department@Jefferies.com, or by phone at (877) 821-7388; J.P. Morgan Securities LLC, c/o Broadridge Financial Solutions, 1155 Long Island Avenue, Edgewood NY 11717, by telephone at (866) 803-9204, or by email at prospectus-eq_fi@jpmchase.com; SVB Securities LLC, Attention: Syndicate Department, 53 State Street, 40th Floor, Boston, MA 02109, by telephone at (800) 808-7525, ext. 6105, or by email at syndicate@svbsecurities.com; or Stifel, Nicolaus & Company, Incorporated, One Montgomery Street, Suite 3700, San Francisco, CA 94104, Attn: Syndicate, or by phone at (415) 364-2720, or by email at syndprospectus@stifel.com.

No securities were offered or sold, directly or indirectly, in Canada or to any resident of Canada.

This press release shall not constitute an offer to sell or the solicitation of an offer to buy the securities being offered, nor shall there be any sale of the securities being offered 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.

Media/Investor Contacts:
Jodi Regts
Xenon Pharmaceuticals Inc.
Phone: 604-484-3353
Email: investors@xenon-pharma.com

FAQ

What was the purpose of Xenon Pharmaceuticals' recent public offering?

The public offering aimed to raise funds for general corporate purposes and support the company's ongoing clinical programs.

How much did Xenon Pharmaceuticals raise from the public offering?

Xenon Pharmaceuticals raised approximately $287.5 million in gross proceeds from the offering.

What were the pricing details for Xenon's common shares and pre-funded warrants?

Common shares were priced at $30.50 each, and pre-funded warrants were priced at $30.4999 with an exercise price of $0.0001.

Who were the underwriters for Xenon Pharmaceuticals' public offering?

Jefferies, J.P. Morgan, SVB Securities, and Stifel acted as joint book-running managers for the offering.

What impact could the public offering have on current shareholders of XENE?

The public offering may lead to dilution of existing shares, potentially affecting current shareholders' equity.