LXRX - Lexicon Pharma slumps on pricing $85M stock offering and concurrent private placement

• Lexicon Pharmaceuticals ( NASDAQ: LXRX ) priced its earlier announced underwritten public offering of 16.8M shares, par value $0.001, at $2.5/share.
• Gross proceeds are expected to be ~$42.1M.
• Underwriters granted 30-day option to purchase up to an additional 2.53M shares.
• Offering is expected to close on or about Aug.1, 2022.
• Along with this offering, the company also plans to sell 17.16M shares to raise gross proceeds of ~$42.9M in a concurrent private placement at $2.50/share.
• Private Placement Purchasers will have the option to purchase, on a pro rata basis, up to an additional 2.57M shares.
• Net proceeds of both the offerings along with existing cash and equivalents and short-term investments to be used for funding pre-commercial and commercial launch activities for sotagliflozin in heart failure, funding continued development of sotagliflozin in heart failure and LX9211 in neuropathic pain and working capital and other general corporate purposes.
• Shares trading 21.4% down in premarket trade.

For further details see: