Viking Therapeutics Prices Upsized $500 Million Offering of Common Stock and Convertible Senior Notes

The planned use of proceeds covers Viking's drug programs, while the convertible notes carry a 2.00% annual interest rate.

Rhea-AI Summary

Viking Therapeutics (VKTX) priced concurrent stock and convertible-note offerings totaling $500 million on September 24, 2026. The stock offering covers 7,857,143 shares at $35.00 each; the note offering comprises $225.0 million of 2.00% senior unsecured notes due October 15, 2032. Each offering was upsized from $200.0 million. Settlement is scheduled for September 25, subject to customary closing conditions. Neither offering depends on the other closing.

Viking estimates net proceeds of approximately $258.2 million from the shares and approximately $218.0 million from the notes, before any underwriter options are exercised. The notes initially convert at 19.7044 shares per $1,000 of principal, equivalent to approximately $50.75 per share—a premium of approximately 45% to the stock offering price. Viking intends to use the proceeds for its VK2735 and VK3019 programs, other research and development, working capital and general corporate purposes.

Positive

• Estimated net proceeds: $258.2 million from shares; $218.0 million from notes

Negative

• 7,857,143 new shares priced for issuance at $35.00 each
• $225.0 million of convertible notes carry 2.00% annual interest

News Explained

Note-related dilution requires both a conversion and Viking’s choice to deliver shares; cash settlement remains available.

The priced common-stock sale is pending settlement and, if completed, would add 7,857,143 shares, reducing existing holders’ percentage ownership absent offsetting changes; underwriters can purchase up to 1,178,571 more shares under a 30-day option.

The notes are senior unsecured obligations; before July 15, 2032 holders may convert only upon specified events, and afterward may convert at any time until two scheduled trading days before maturity, while Viking may settle conversions in cash, shares or both.

Argus 15 min delay 44 alerts

-12.56% vs previous close $36.42 last price 256.3x rel. volume Open Argus

Details

Market move: VKTX -12.56% vs previous close. Upsized public offering

$36.12 $38.39 Day Range

$4.25B Market Cap

On Sep 24, the day this news came out, the latest delayed price for VKTX is 12.56% below the previous close. Our momentum scanner has recorded 44 alerts for this stock so far that day. The latest delayed price is $36.42. Relative volume is exceptionally heavy at 256.3x the average.

Data tracked by StockTitan Argus (15 min delayed). Upgrade to Gold for real-time data.

Market Context

The active S-3ASR dated 2026-07-29 was confirmed effective; it provides registration context for the...

Analysis

The active S-3ASR dated 2026-07-29 was confirmed effective; it provides registration context for the release's statement that these offerings were made under an effective shelf.

Key Figures

Common shares offered: 7,857,143 shares Common stock offering price: $35.00 per share Convertible notes principal: $225.0 million +5 more

Common shares offered

7,857,143 shares

Concurrent public common stock offering

Common stock offering price

$35.00 per share

Public offering price

Convertible notes principal

$225.0 million

2.00% convertible senior notes due 2032

Previously announced offering sizes

$200.0 million common stock; $200.0 million notes

Sizes before the increase

Note interest rate

2.00% per annum

Payable semi-annually in arrears

Initial conversion rate

19.7044 shares per $1,000 principal amount

Convertible senior notes

Additional common shares option

Up to 1,178,571 shares

30-day underwriter option for over-allotments

Additional notes option

Up to $33.75 million

30-day underwriter option for over-allotments

Historical Context

1 past event · Latest: Sep 22

1 event

1. Sep 22

   Clinical data

   24h Move

   +35.7%

   VK2735 maintenance study reported 22% placebo-adjusted weight loss at Week 33.

24h Move is the share-price change in the day after each event; other market factors may also have contributed.

Key Terms

convertible senior notes, over-allotments, conversion rate, shelf registration statement

4 terms

convertible senior notes financial

"aggregate principal amount of 2.00% convertible senior notes due 2032"

Convertible senior notes are a type of loan that a company issues to investors, which can be turned into company shares later on. They are called "senior" because they are paid back before other debts if the company runs into trouble. This allows investors to earn interest like a loan but also have the chance to own part of the company if its value rises.

over-allotments financial

"solely to cover over-allotments"

An over-allotment is a temporary extra batch of shares that the underwriters of a stock offering are allowed to sell beyond the original amount, with the right to buy those shares back later. Think of it as spare tickets sold to meet demand and then reclaimed if needed to keep the market orderly; it helps stabilize the stock price after an offering and can affect short-term supply and potential dilution, which matters to investors tracking price and ownership stakes.

conversion rate financial

"The initial conversion rate is 19.7044 shares of common stock"

Conversion rate is the proportion of items, people or contracts that take a desired action out of the total possible — for example the share of website visitors who make a purchase, or the number of convertible bonds that are exchanged for shares. Investors care because it measures how effectively a business or financial instrument turns opportunity into real outcomes, like sales or share issuance, which directly affects revenue, cash flow and ownership dilution.

shelf registration statement regulatory

"made pursuant to an effective shelf registration statement"

A shelf registration statement is a document a company files with regulators that allows it to sell shares or bonds quickly when it’s a good time to raise money. It’s like having a pre-approved plan ready so the company can act fast without going through lengthy paperwork each time they want to sell, making fundraising more flexible.

AI-generated analysis. How Rhea-AI works. Not financial advice.

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SAN DIEGO, Sept. 24, 2026 /PRNewswire/ -- Viking Therapeutics, Inc. (Nasdaq: VKTX), a clinical-stage biopharmaceutical company focused on the development of novel therapies for metabolic and endocrine disorders, today announced the pricing of its concurrent public offerings of 7,857,143 shares of common stock, at a public offering price of $35.00 per share, and $225.0 million aggregate principal amount of 2.00% convertible senior notes due 2032 (the "notes"). The offering size of each of the common stock offering and note offering was increased from the previously announced offering size of $200.0 million of shares of common stock and $200.0 million aggregate principal amount of notes. The issuance and sale of the common stock and the notes are scheduled to settle on September 25, 2026, subject to customary closing conditions. Viking also granted the underwriters of the common stock offering a 30-day option to purchase up to an additional 1,178,571 shares of common stock, and granted the underwriters of the note offering a 30-day option to purchase up to an additional $33.75 million aggregate principal amount of notes solely to cover over-allotments. The completion of the common stock offering will not be contingent on the completion of the note offering, and the completion of the note offering will not be contingent on the completion of the common stock offering.

Morgan Stanley, J.P. Morgan, Jefferies, Leerink Partners and William Blair are acting as joint book-running managers for the note offering. Morgan Stanley, J.P. Morgan, Jefferies, Leerink Partners, William Blair and Raymond James are acting as joint book-running managers for the common stock offering. Oppenheimer & Co. is acting as lead manager and Canaccord Genuity, H.C. Wainwright & Co., B. Riley Securities, Maxim Group LLC and Laidlaw & Company (U.K.) Ltd. are acting as co-managers for the common stock offering.

The notes will be senior, unsecured obligations of Viking and will accrue interest at a rate of 2.00% per annum, payable semi-annually in arrears on April 15 and October 15 of each year, beginning on April 15, 2027. The notes will mature on October 15, 2032, unless earlier repurchased, redeemed or converted. Before July 15, 2032, noteholders will have the right to convert their notes only upon the occurrence of certain events. From and after July 15, 2032, noteholders may convert their notes at any time at their election until the close of business on the second scheduled trading day immediately before the maturity date. Viking will settle conversions by paying or delivering, as applicable, cash, shares of its common stock or a combination of cash and shares of its common stock, at Viking's election. The initial conversion rate is 19.7044 shares of common stock per $1,000 principal amount of notes, which represents an initial conversion price of approximately $50.75 per share of common stock. The initial conversion price represents a premium of approximately 45% over the public offering price per share of common stock in the common stock offering. The conversion rate and conversion price will be subject to adjustment upon the occurrence of certain events.

The notes will be redeemable, in whole or in part (subject to certain limitations), for cash at Viking's option at any time, and from time to time, on or after October 22, 2029 and on or before the 25th scheduled trading day immediately before the maturity date, but only if the last reported sale price per share of Viking's common stock exceeds 130% of the conversion price for a specified period of time. The notes will also be redeemable, in whole and not in part, for cash at Viking's election at any time if the principal amount of the notes then outstanding is less than 15% of the aggregate principal amount of the notes issued in this offering (including any additional notes issued pursuant to any exercise of the underwriters' option to purchase additional notes). The redemption price will be equal to the principal amount of the notes to be redeemed, plus accrued and unpaid interest, if any, to, but excluding, the redemption date.

If a "fundamental change" (as defined in the indenture for the notes) occurs, then, subject to a limited exception, noteholders may require Viking to repurchase their notes for cash. The repurchase price will be equal to the principal amount of the notes to be repurchased, plus accrued and unpaid interest, if any, to, but excluding, the fundamental change repurchase date.

Viking estimates that the net proceeds from the common stock offering will be approximately $258.2 million (or approximately $297.0 million if the underwriters of the common stock offering fully exercise their option to purchase additional shares of common stock), after deducting the underwriting discounts and commissions and estimated offering expenses. Viking estimates that the net proceeds from the note offering will be approximately $218.0 million (or approximately $250.8 million if the underwriters of the note offering fully exercise their option to purchase additional notes), after deducting the underwriting discounts and commissions and Viking's estimated offering expenses. Viking intends to use the net proceeds from the note offering, together with the net proceeds from the common stock offering, for the continued clinical development, advancement and commercialization of its VK2735 program, the continued clinical development and advancement of its VK3019 program and for other general research and development, working capital and general corporate purposes.

The offerings are being made pursuant to an effective shelf registration statement on file with the Securities and Exchange Commission (the "SEC"). Each offering will be made only by means of a prospectus supplement relating to that offering and an accompanying prospectus. An electronic copy of the preliminary prospectus supplement (and, when available, the final prospectus supplement) for each offering, together with the accompanying prospectus, is or will be available on the SEC's website at www.sec.gov. Alternatively, copies of these documents can be obtained by contacting: Morgan Stanley & Co. LLC at 180 Varick Street, 2nd Floor, New York, New York 10014, Attention: Prospectus Department; or J.P. Morgan Securities LLC, c/o Broadridge Financial Solutions, 1155 Long Island Avenue, Edgewood, NY 11717 or by email at prospectus-eq_fi@jpmchase.com and postsalemanualrequests@broadridge.com.

This press release does not constitute an offer to sell, or the solicitation of an offer to buy, any securities referred to in this press release, nor will there be any sale of any such securities, in any state or other jurisdiction in which such offer, sale or solicitation would be unlawful prior to registration or qualification under the securities laws of such state or jurisdiction.

About Viking Therapeutics, Inc.

Viking Therapeutics, Inc. is a clinical-stage biotechnology company advancing a next-generation portfolio of therapies for obesity and metabolic disease. Guided by deep expertise in metabolic biology and rigorous science, Viking is developing innovative treatments to help people achieve meaningful, lasting health improvements by treating obesity first. The company's lead program, VK2735, is a dual glucagon-like peptide 1 (GLP-1) and glucose-dependent insulinotropic polypeptide (GIP) receptor agonist in development in both subcutaneous and oral formulations for obesity. VK2735 is currently being evaluated in Phase 3 clinical studies for obesity, along with maintenance dosing strategies designed to support long-term weight management. Viking is also advancing additional obesity programs, including VK3019, an amylin receptor agonist, VK2809, an orally available thyroid hormone receptor beta agonist for metabolic and liver disease, and VK0214 for the rare genetic disorder X-linked adrenoleukodystrophy (X-ALD).

Forward-Looking Statements

This press release contains forward-looking statements regarding Viking Therapeutics, Inc., under the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995, including statements about the completion of the offerings and the expected amount and intended use of the net proceeds. Forward-looking statements represent Viking's current expectations regarding future events and are subject to known and unknown risks and uncertainties that could cause actual results to differ materially from those implied by the forward-looking statements. Among those risks and uncertainties are market conditions, the satisfaction of the closing conditions related to the offerings, risks described under the caption "Risk Factors" in the preliminary prospectus supplements (and, when available, the final prospectus supplements) for the offerings and risks relating to Viking's business, including those described in Viking's most recent periodic reports filed with the Securities and Exchange Commission, including Viking's Annual Report on Form 10-K for the year ended December 31, 2025, and subsequent Quarterly Reports on Form 10-Q, including the risk factors set forth in those filings.  Viking may not consummate the offerings described in this press release and, if the offerings are consummated, cannot provide any assurances regarding its ability to effectively apply the net proceeds as described above. The forward-looking statements included in this press release speak only as of the date of this press release, and Viking does not undertake to update the statements included in this press release for subsequent developments, except as may be required by law.

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SOURCE Viking Therapeutics, Inc.

FAQ

AI-generated questions and answers. How Rhea-AI works. Not financial advice.

How many shares is Viking Therapeutics offering, and at what price?

Viking Therapeutics priced 7,857,143 common shares at $35.00 per share. The stock offering is scheduled to settle on September 25, 2026, subject to customary closing conditions.

What are the conversion terms for Viking Therapeutics' 2032 notes?

The notes have an initial conversion rate of 19.7044 shares per $1,000 of principal, equivalent to an initial conversion price of approximately $50.75 per share. That price is approximately 45% above the stock offering price. The conversion rate and price are subject to adjustment upon certain events.

Can Viking Therapeutics' underwriters buy additional shares or notes?

Yes. The stock underwriters have a 30-day option to buy up to 1,178,571 additional shares. The note underwriters have a separate 30-day option to buy up to $33.75 million in additional principal amount of notes solely to cover over-allotments.

When can holders convert Viking Therapeutics' 2032 notes?

Before July 15, 2032, holders can convert only upon certain events. From that date, they may convert at their election until the close of business on the second scheduled trading day before maturity. Viking may settle conversions in cash, shares or a combination, at its election.