NEW YORK – Legend Biotech on Monday announced its intent to offer and sell $250 million worth of American Depositary Shares in an underwritten public offering.
The ADSs each represent two ordinary shares. Legend will also give underwriters a 30-day option to purchase up to $37.5 million in additional ADSs at the public offering price minus underwriting discounts and commissions.
Morgan Stanley, JP Morgan, Jefferies, and Evercore ISI are acting jointly as Legend's book-running managers, and BMO Capital Markets is another book-runner.
In a prospectus filed with the US Securities and Exchange Commission, Somerset, New Jersey-based Legend said that it plans to use the proceeds to fund the clinical development and commercialization of Carvykti (cilta-cel). Legend developed the autologous CAR T-cell therapy with Janssen, and the US Food and Drug Administration approved it for multiple myeloma patients in early March. The funds raised from the public offering will also go toward constructing and expanding manufacturing facilities to produce Carvykti as well as supporting other pipeline programs and general corporate activities.
Earlier this month, Legend announced the termination of a Phase I clinical trial evaluating its CD4-targeted CAR T-cell therapy LB1901 for relapsed or refractory T-cell lymphomas, in order to focus on other pipeline products.
On Tuesday morning, Legend's stock price was down 8.22 percent, to $46.33 per share.