Wave Life Sciences Announces Closing of Upsized Public Offering of Ordinary Shares and Pre-Funded Warrants and Full Exercise of Underwriters’ Option to Purchase Additional Shares 

Rhea-AI Summary

Wave Life Sciences (Nasdaq: WVE) has successfully closed its previously announced public offering, raising approximately $230 million in gross proceeds. The offering included 26,875,001 ordinary shares at $8.00 per share and pre-funded warrants to purchase 1,875,023 ordinary shares. The underwriters fully exercised their option to purchase an additional 3,750,000 ordinary shares at the same price. J.P. Morgan and Leerink Partners served as joint book-running managers, with Truist Securities and Mizuho as book-runners. The offering was made through a shelf registration statement filed with the SEC, with the final prospectus supplement and accompanying base prospectus available on the SEC's website.

Positive

• Successful closing of upsized public offering, raising approximately $230 million in gross proceeds
• Full exercise of underwriters' option to purchase additional shares, indicating strong demand
• Significant capital infusion to support Wave Life Sciences' clinical-stage biotechnology operations

Negative

• Potential dilution of existing shareholders due to the issuance of new ordinary shares and pre-funded warrants

Insights

Financial Analyst

Wave Life Sciences has successfully closed an upsized public offering, raising approximately $230 million in gross proceeds. This substantial capital infusion significantly strengthens the company's financial position, providing important funding for its RNA medicine development pipeline. The full exercise of the underwriters' option to purchase additional shares at $8.00 per share demonstrates strong investor confidence in Wave's potential. For a clinical-stage biotech with a $1.04 billion market cap, this financing round is particularly impactful, potentially extending the company's cash runway and accelerating key clinical programs. However, investors should note the potential dilution effect on existing shareholders. The involvement of major underwriters like J.P. Morgan and Leerink Partners adds credibility to the offering. Overall, this successful capital raise positions Wave Life Sciences more favorably in the competitive RNA therapeutics landscape, potentially catalyzing future growth and clinical advancements.

Biotech Industry Expert

This substantial capital raise of $230 million is a significant milestone for Wave Life Sciences, potentially transforming its ability to advance its RNA medicine pipeline. The company's focus on "unlocking the broad potential of RNA medicines" aligns with a rapidly growing field in biotechnology. This influx of capital could accelerate the development of Wave's clinical-stage programs and potentially expand its research into new therapeutic areas. The strong investor interest, evidenced by the upsized offering and full exercise of the underwriters' option, suggests confidence in Wave's technology platform and clinical prospects. For investors, this could signal increased potential for breakthrough therapies and long-term value creation. However, it's important to remember that clinical-stage biotech companies face significant risks, including potential clinical trial failures and regulatory hurdles. The coming months will be critical as Wave deploys this capital to advance its pipeline and demonstrate clinical progress.

CAMBRIDGE, Mass., Oct. 01, 2024 (GLOBE NEWSWIRE) -- Wave Life Sciences Ltd. (Nasdaq: WVE), a clinical-stage biotechnology company focused on unlocking the broad potential of RNA medicines to transform human health, announced today that it closed its previously announced underwritten public offering, and that the underwriters exercised in full their option to purchase an additional 3,750,000 of its ordinary shares at the public offering price of $8.00 per ordinary share, less underwriting discounts and commissions. After giving effect to the full exercise of the underwriters’ option to purchase additional shares, the total number of ordinary shares sold in the offering is 26,875,001 ordinary shares which, along with the sale of pre-funded warrants to purchase 1,875,023 ordinary shares, resulted in aggregate gross proceeds to Wave Life Sciences of approximately $230 million, before deducting underwriting discounts and commissions and offering expenses.

J.P. Morgan and Leerink Partners acted as joint book-running managers for the offering. Truist Securities and Mizuho acted as book-runners for the offering.

The offering was made only by means of a prospectus and related prospectus supplement forming part of a shelf registration statement that was previously filed with and declared effective by the Securities and Exchange Commission (“SEC”). The final prospectus supplement and accompanying base prospectus relating to the offering were filed with the SEC on September 27, 2024 and are available on the SEC’s website located at http://www.sec.gov, copies of which may be obtained from 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; or from Leerink Partners LLC, Syndicate Department, 53 State Street, 40th Floor, Boston, MA 02109, or by telephone at (800) 808-7525, ext. 6105, or by email at syndicate@leerink.com.

This press release shall not constitute an offer to sell, or a solicitation of an offer to buy, nor will there be any sale of these securities in any state or other jurisdiction in which such an 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 Wave Life Sciences

Wave Life Sciences (Nasdaq: WVE) is a biotechnology company focused on unlocking the broad potential of RNA medicines to transform human health. Wave’s RNA medicines platform, PRISM^®, combines multiple modalities, chemistry innovation and deep insights in human genetics to deliver scientific breakthroughs that treat both rare and prevalent disorders. Its toolkit of RNA-targeting modalities includes editing, splicing, RNA interference and antisense silencing, providing Wave with unmatched capabilities for designing and sustainably delivering candidates that optimally address disease biology. Wave’s diversified pipeline includes clinical programs in Duchenne muscular dystrophy, Alpha-1 antitrypsin deficiency and Huntington’s disease, as well as a preclinical program in obesity. Driven by the calling to “Reimagine Possible”, Wave is leading the charge toward a world in which human potential is no longer hindered by the burden of disease. Wave is headquartered in Cambridge, MA. 

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, as amended. The words “may,” “will,” “could,” “would,” “should,” “expect,” “plan,” “anticipate,” “intend,” “believe,” “estimate,” “predict,” “project,” “potential,” “continue,” “target” and similar expressions are intended to identify forward-looking statements, although not all forward-looking statements contain these identifying words. These statements are subject to various risks and uncertainties, actual results could differ materially from those projected and Wave cautions investors not to place undue reliance on the forward-looking statements in this press release. Any forward-looking statements in this press release are based on management’s current expectations and beliefs and are subject to a number of risks, uncertainties and important factors that may cause actual events or results to differ materially from those expressed or implied by any forward-looking statements contained in this press release, including, without limitation, the risks and uncertainties described in the section entitled “Risk Factors” in Wave’s final prospectus supplement related to the offering filed with the SEC on September 27, 2024 and Wave’s most recent Annual Report on Form 10-K filed with the SEC, as amended, and in other filings Wave makes with the SEC from time to time. Wave undertakes no obligation to update the information contained in this press release to reflect subsequently occurring events or circumstances.

Investor Contact:
Kate Rausch
+1 617-949-4827
krausch@wavelifesci.com

Media Contact:
Alicia Suter
+1 617-949-4817
asuter@wavelifesci.com

FAQ

How much did Wave Life Sciences (WVE) raise in its recent public offering?

Wave Life Sciences (WVE) raised approximately $230 million in gross proceeds from its recent public offering of ordinary shares and pre-funded warrants.

What was the price per share for Wave Life Sciences' (WVE) public offering?

The public offering price for Wave Life Sciences' (WVE) ordinary shares was $8.00 per share.

How many ordinary shares did Wave Life Sciences (WVE) sell in the offering?

Wave Life Sciences (WVE) sold a total of 26,875,001 ordinary shares in the offering, including the full exercise of the underwriters' option to purchase additional shares.

Did Wave Life Sciences (WVE) offer any other securities besides ordinary shares?

Yes, Wave Life Sciences (WVE) also offered pre-funded warrants to purchase 1,875,023 ordinary shares as part of the public offering.