SAN FRANCISCO - Structure Therapeutics Inc. (NASDAQ: GPCR), a biopharmaceutical company specializing in oral treatments for metabolic and cardiopulmonary diseases, has initiated a process for an underwritten public offering.
The company intends to offer 8 million American depositary shares (ADSs), with each ADS representing three ordinary shares. In conjunction with the offering, Structure Therapeutics may also provide certain investors with pre-funded warrants as an alternative to ADSs.
The pricing for the pre-funded warrants will be the public offering price per ADS minus $0.0001, which will be the exercise price for each warrant. Moreover, the company plans to give underwriters a 30-day option to purchase up to an additional 1.2 million ADSs at the public offering price, less any underwriting discounts and commissions.
Goldman Sachs & Co. LLC, Morgan Stanley, Jefferies, Leerink Partners, Guggenheim Securities, and BMO Capital Markets have been appointed as joint book-running managers for the offering. The final public offering price has yet to be determined and the offering's completion is subject to market conditions. There is no guarantee of the offering's completion or the terms and size of the final offering.
This announcement comes as Structure Therapeutics continues to leverage its structure-based drug discovery platform, focusing on wholly-owned proprietary clinical-stage small molecule compounds that target G protein-coupled receptors (GPCRs). The company aims to develop therapies that can overcome the limitations of traditional biologic and peptide treatments, potentially benefiting a broader patient population globally.
The registration statement for these securities has been filed with the U.S. Securities and Exchange Commission (SEC) but has not yet become effective. Prospective buyers can access the registration statement on the SEC's website, and the offering will only be made via a prospectus.
This press release, based on a press release statement, contains forward-looking statements regarding the offering, its timing, size, and completion, which are subject to market risks and uncertainties. Structure Therapeutics has made no commitment to update any forward-looking statements after the date of their initial publication. Investors and media can contact the company for further information.
InvestingPro Insights
As Structure Therapeutics Inc. (NASDAQ: GPCR) navigates its public offering, investors are closely monitoring the company's financial health and market performance. According to InvestingPro data, GPCR has a market capitalization of approximately $1.59 billion, reflecting investor valuation of the company's potential despite its challenges. The stock has recently experienced significant volatility, with a one-week price total return of -7.72%, and a more extended six-month price total return of -42.59%, indicating a period of bearish sentiment among investors.
InvestingPro Tips suggest that GPCR holds more cash than debt on its balance sheet, which may provide some financial stability as the company seeks additional capital through the public offering. Moreover, liquid assets exceed short-term obligations, offering a cushion for near-term financial needs. However, the company's profitability remains a concern, with analysts not expecting profitability this year and a negative P/E ratio of -16.68, underscoring the earnings challenges it faces.
For investors considering a deeper dive into GPCR's financials and future prospects, there are additional InvestingPro Tips available at https://www.investing.com/pro/GPCR. With these insights, investors can make more informed decisions, especially in light of the company's recent performance and the upcoming offering. For access to these additional tips, consider using the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription.
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