Fractyl Health Announces Closing of $23 Million Underwritten Public Offering Including Full Exercise of Underwriter’s Option to Purchase Additional Shares
Fractyl Health (NASDAQ:GUTS) has successfully closed its previously announced underwritten public offering, raising $23 million in gross proceeds. The offering included 21,904,761 shares of common stock with accompanying Tranche A (2-year) and Tranche B (5-year) warrants, sold at $1.05 per combined unit.
Notable institutional investors participating included Nantahala Capital, ADAR1 Capital Management, Second Line Capital, 683 Capital, and SilverArc Capital. The warrants, if fully exercised, could provide up to an additional $46 million in gross proceeds. The company plans to use the funds to support clinical development of its Revita and Rejuva platforms and for working capital purposes.
Fractyl Health (NASDAQ:GUTS) ha completato con successo la sua offerta pubblica sottoscritta precedentemente annunciata, raccogliendo 23 milioni di dollari di proventi lordi. L'offerta comprendeva 21.904.761 azioni ordinarie con warrants Tranche A (2 anni) e Tranche B (5 anni), venduti a 1,05 dollari per unità combinata.
Tra gli investitori istituzionali di rilievo che hanno partecipato figurano Nantahala Capital, ADAR1 Capital Management, Second Line Capital, 683 Capital e SilverArc Capital. Se esercitati completamente, i warrants potrebbero generare fino a 46 milioni di dollari di proventi lordi aggiuntivi. La società intende utilizzare i fondi per supportare lo sviluppo clinico delle sue piattaforme Revita e Rejuva e per esigenze di capitale circolante.
Fractyl Health (NASDAQ:GUTS) ha cerrado con éxito su oferta pública suscrita previamente anunciada, recaudando 23 millones de dólares en ingresos brutos. La oferta incluyó 21,904,761 acciones comunes con warrants Tramo A (2 años) y Tramo B (5 años), vendidos a 1.05 dólares por unidad combinada.
Entre los inversores institucionales destacados que participaron se encuentran Nantahala Capital, ADAR1 Capital Management, Second Line Capital, 683 Capital y SilverArc Capital. Si se ejercen completamente, los warrants podrían aportar hasta 46 millones de dólares adicionales en ingresos brutos. La empresa planea usar los fondos para apoyar el desarrollo clínico de sus plataformas Revita y Rejuva y para capital de trabajo.
Fractyl Health (NASDAQ:GUTS)는 이전에 발표한 인수 공모를 성공적으로 마감하여 총 2,300만 달러의 총 수익을 모금했습니다. 이번 공모에는 21,904,761주의 보통주와 함께 2년 만기 Tranche A 및 5년 만기 Tranche B 워런트가 포함되었으며, 단위당 1.05달러에 판매되었습니다.
주요 기관 투자자로는 Nantahala Capital, ADAR1 Capital Management, Second Line Capital, 683 Capital, SilverArc Capital 등이 참여했습니다. 워런트가 모두 행사될 경우 최대 4,600만 달러의 추가 총 수익을 창출할 수 있습니다. 회사는 이 자금을 Revita 및 Rejuva 플랫폼의 임상 개발 지원과 운영 자금으로 사용할 계획입니다.
Fractyl Health (NASDAQ:GUTS) a clôturé avec succès son offre publique souscrite précédemment annoncée, levant 23 millions de dollars de produits bruts. L'offre comprenait 21 904 761 actions ordinaires avec des bons de souscription Tranche A (2 ans) et Tranche B (5 ans), vendus à 1,05 dollar par unité combinée.
Parmi les investisseurs institutionnels notables ayant participé figurent Nantahala Capital, ADAR1 Capital Management, Second Line Capital, 683 Capital et SilverArc Capital. Si les bons de souscription sont entièrement exercés, ils pourraient générer jusqu'à 46 millions de dollars supplémentaires de produits bruts. La société prévoit d'utiliser les fonds pour soutenir le développement clinique de ses plateformes Revita et Rejuva ainsi que pour ses besoins en fonds de roulement.
Fractyl Health (NASDAQ:GUTS) hat sein zuvor angekündigtes öffentliches Angebot erfolgreich abgeschlossen und dabei 23 Millionen US-Dollar Bruttoerlös erzielt. Das Angebot umfasste 21.904.761 Stammaktien mit dazugehörigen Tranche A (2 Jahre) und Tranche B (5 Jahre) Warrants, verkauft zu 1,05 US-Dollar pro kombiniereinheit.
Bedeutende institutionelle Investoren, die teilnahmen, waren Nantahala Capital, ADAR1 Capital Management, Second Line Capital, 683 Capital und SilverArc Capital. Sollten die Warrants vollständig ausgeübt werden, könnten sie zusätzliche 46 Millionen US-Dollar Bruttoerlös generieren. Das Unternehmen plant, die Mittel zur Unterstützung der klinischen Entwicklung seiner Revita- und Rejuva-Plattformen sowie für Betriebskapitalzwecke zu verwenden.
- None.
- Significant dilution for existing shareholders through issuance of 21.9 million new shares
- Offering price of $1.05 may represent a discount to market price
- Additional potential dilution if warrants are exercised
Insights
Fractyl secured $23M financing with potential for $46M more, extending runway through critical clinical trial readouts for metabolic disease therapies.
Fractyl Health has successfully closed a
The financing structure is particularly strategic with two warrant tranches: 2-year Tranche A warrants and 5-year Tranche B warrants, both with
Most critically, this financing extends Fractyl's cash runway through the upcoming 3-month and 6-month data readouts from their pivotal REMAIN-1 study, which represents a crucial inflection point for their metabolic disease platforms targeting obesity and type 2 diabetes. The company's focus on "root cause" treatments in the rapidly growing metabolic disease space positions them in a high-interest therapeutic area.
With proceeds directed toward clinical development of both the Revita and Rejuva platforms, this financing provides essential operating capital during a period when positive clinical data could significantly transform the company's valuation and strategic options.
Offering included participation from leading institutional investors, including Nantahala Capital, ADAR1 Capital Management, Second Line Capital, 683 Capital, and SilverArc Capital
Proceeds expected to extend cash runway through key upcoming 3-and 6-month REMAIN-1 Midpoint Cohort randomized data readouts from the REMAIN-1 pivotal study
BURLINGTON, Mass., Aug. 07, 2025 (GLOBE NEWSWIRE) -- Fractyl Health, Inc. (Nasdaq: GUTS) (the “Company” or “Fractyl”), a metabolic therapeutics company pioneering pattern-breaking approaches that treat root causes of obesity and type 2 diabetes (“T2D”), today announced the closing of its previously announced underwritten public offering of 21,904,761 shares of common stock and accompanying Tranche A and Tranche B warrants, including the full exercise of the underwriter’s option to purchase 2,857,142 additional shares of common stock and accompanying Tranche A and Tranche B warrants, for gross proceeds of approximately
The offering drew participation from both new institutional investors and existing shareholders, including Nantahala Capital, ADAR1 Capital Management, Second Line Capital, 683 Capital, and SilverArc Capital.
Each share of common stock was sold together with (a) one Tranche A warrant with a 2-year term; and (b) one Tranche B warrant with a 5-year term, exercisable following stockholder approval pursuant to Nasdaq rules; at a combined public offering price of
The Tranche A warrants are callable at the Company’s option following the release of 3-month randomized midpoint clinical data from the ongoing REMAIN-1 study, subject to satisfaction of certain conditions including that the average trading price of the stock exceeds
If fully exercised for cash, the Tranche A and Tranche B warrants could result in up to an additional
Fractyl intends to use net proceeds from the offering to support clinical development of its Revita and Rejuva platforms, and for working capital and general corporate purposes.
Ladenburg Thalmann & Co. Inc. acted as book-running manager for the offering.
The securities described herein are offered pursuant to a shelf registration statement on Form S-3 (File No. 333-285522), filed with the U.S. Securities and Exchange Commission (the “SEC”) on March 3, 2025 and declared effective on March 18, 2025. A prospectus supplement and accompanying base prospectus describing the terms of the offering was filed with the SEC and is available at www.sec.gov. Copies may also be obtained from Ladenburg Thalmann & Co. Inc., Attn: Prospectus Department, 640 Fifth Avenue, 4th Floor, New York, NY 10019, or by email at prospectus@ladenburg.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 Fractyl Health
Fractyl Health is a metabolic therapeutics company focused on developing root-cause treatments for obesity and type 2 diabetes. Its Revita® duodenal resurfacing procedure and Rejuva™ gene therapy platform aim to deliver durable, disease-modifying outcomes by targeting organ-level drivers of metabolic disease. Fractyl maintains a robust IP portfolio with 32 granted U.S. patents and approximately 40 pending U.S. applications.
Forward-Looking Statements
This press release includes forward-looking statements within the meaning of Section 27A of the Securities Act and Section 21E of the Exchange Act. These statements involve risks and uncertainties that may cause actual results to differ materially. Factors include, without limitation, development timelines for Revita and Rejuva, market acceptance, regulatory approvals, and Fractyl’s ability to meet its goals. Additional information concerning risks and uncertainties is included in Fractyl’s filings with the SEC.
Contacts for Media and Investors
Media Contact
Jessica Cotrone, Head of Corporate Communications
jcotrone@fractyl.com | 978.760.5622
Investor Contact
Brian Luque, Head of Investor Relations and Corporate Development
IR@fractyl.com | 951.206.1200
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