Protara Therapeutics Announces Pricing of $147.6 Million of Securities in Concurrent Public Offerings of Common Stock and Pre...
22 September 2020 - 10:12PM
Protara Therapeutics, Inc. (Nasdaq: TARA), a clinical-stage company
developing transformative therapies for the treatment of cancer and
rare diseases with significant unmet needs, today announced the
pricing of two concurrent but separate underwritten public
offerings (together, the “Offerings”) of (i) 4,600,000 shares of
its common stock and (ii) 4,148 shares of its non-voting Series 1
Convertible Preferred Stock (the “Series 1 preferred stock”). The
public offering price of each share of common stock is $16.87 and
the public offering price of each share of Series 1 preferred stock
is $16,873.54. In addition, Protara has granted the underwriters a
30-day option to purchase additional shares of common stock of up
to 15% of the aggregate number of shares offered in the common
stock offering. The Offerings are expected to close on September
24, 2020, subject to customary closing conditions. Cowen and
Guggenheim Securities are acting as joint book-running managers.
Oppenheimer & Co. is acting as lead manager for the Offerings
and H.C. Wainwright & Co. is acting as co-manager for the
Offerings.
Each share of Series 1 preferred stock is
convertible into approximately 1,000 shares of common stock as set
forth in the certificate of designation for the Series 1 preferred
stock, at any time at the option of the holder, subject to certain
restrictions and limitations.
Protara expects to receive combined gross
proceeds of $147.6 million from the Offerings, before deducting
underwriting discounts and offering expenses. Protara intends to
use the net proceeds from the Offerings primarily for development
activities associated with TARA-002 in non-muscle invasive bladder
cancer, lymphatic malformations and potential exploration of
additional indications, and the remainder of the net proceeds for
general corporate purposes and working capital.
The securities described above are being offered
by Protara pursuant to an effective shelf registration statement on
Form S-3 filed with the Securities and Exchange Commission (“SEC”),
which became effective on May 26, 2020. A preliminary prospectus
supplement relating to each of the Offerings has been, and a final
prospectus supplement related to each of the Offerings will be,
filed with the SEC and will be available on the SEC’s website at
http://www.sec.gov. Copies of the preliminary and final prospectus
supplements relating to the Offerings may be obtained, when
available, by contacting Cowen at c/o Broadridge Financial
Solutions, 1155 Long Island Avenue, Edgewood, New York, 11717,
Attention: Prospectus Department, by email at
PostSaleManualRequests@broadridge.com or by telephone at (833)
297-2926; or Guggenheim Securities at 330 Madison Avenue, New York,
NY 10017, Attention: Equity Syndicate Department, by telephone at
(212) 518-9544 or by email at
GSEquityProspectusDelivery@guggenheimpartners.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 Protara
Therapeutics, Inc.
Protara is committed to identifying and
advancing transformative therapies for people with cancer and rare
diseases with limited treatment options. Protara’s portfolio
includes its lead program, TARA-002, an investigational cell-based
therapy being developed for the treatment of non-muscle invasive
bladder cancer and lymphatic malformations, and IV Choline
Chloride, an investigational phospholipid substrate replacement
therapy for the treatment of intestinal failure-associated liver
disease. For more information, visit www.protaratx.com.
Forward-Looking Statements
Statements contained in this press release
regarding matters that are not historical facts are "forward
looking statements" within the meaning of the Private Securities
Litigation Reform Act of 1995. Protara may, in some cases, use
terms such as “predicts,” “believes,” “potential,” “proposed,”
“continue,” “designed,” “estimates,” “anticipates,” “expects,”
“plans,” “intends,” “may,” “could,” “might,” “will,” “should” or
other words or expressions referencing future events, conditions or
circumstances that convey uncertainty of future events or outcomes
to identify these forward-looking statements. Such forward-looking
statements include but are not limited to, statements regarding
Protara’s intentions, beliefs, projections, outlook, analyses or
current expectations concerning, among other things: expectations
as to the completion, timing and use of proceeds relating to the
proposed Offerings, the satisfaction of customary closing
conditions related to the proposed Offerings and statements
regarding Protara’s business strategy. Because such statements are
subject to risks and uncertainties, actual results may differ
materially from those expressed or implied by such forward-looking
statements. Factors that contribute to the uncertain nature of the
forward-looking statements include risks and uncertainties
associated with: market conditions and the satisfaction of
customary closing conditions related to the proposed Offerings;
Protara’s development programs, including the initiation and
completion of non-clinical studies and clinical trials and the
timing of required filings with the FDA and other regulatory
agencies; the impact of the COVID-19 pandemic on Protara’s
business, clinical supply chain, clinical trials and the global
economy; general market conditions; changes in the competitive
landscape; changes in Protara’s strategic and commercial plans;
Protara’s ability to obtain sufficient financing to fund its
strategic plans and commercialization efforts; the loss of key
members of management; and the risks and uncertainties associated
with Protara’s business and financial condition in general,
including the risks and uncertainties described more fully under
the caption "Risk Factors" and elsewhere in Protara's filings and
reports with the United States Securities and Exchange Commission,
including as set forth in the preliminary and final prospectus
supplements related to the proposed Offerings. All forward-looking
statements contained in this press release speak only as of the
date on which they were made and are based on management's
assumptions and estimates as of such date. Protara undertakes no
obligation to update any forward-looking statements, whether as a
result of the receipt of new information, the occurrence of future
events or otherwise, except as required by law.
Company Contact:
Blaine DavisProtara
TherapeuticsBlaine.Davis@protaratx.com 646-844-0337
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