Crinetics Pharmaceuticals (NASDAQ: CRNX) Announces Underwriting Agreement for Common Stock Offering

On October 8, 2024, Crinetics Pharmaceuticals, Inc. disclosed that it had entered into an underwriting agreement with Leerink Partners LLC and Morgan Stanley & Co. LLC for the issuance and sale of 10,000,000 shares of the company’s common stock, valued at $0.001 per share. The agreement includes an option for the underwriters to purchase an additional 1,500,000 shares of common stock within a 30-day period at a public offering price of $50.00 per share.

According to the terms of the agreement, the underwriters will acquire the shares at a price of $47.25 per share. The anticipated net proceeds from the offering are estimated to be approximately $472.0 million. This figure is expected to rise to approximately $542.9 million if the underwriters choose to exercise their full option, after accounting for underwriting discounts, commissions, and estimated offering expenses.

The offering, slated to conclude on October 10, 2024, is subject to standard closing conditions. The issuance is being executed in line with the company’s shelf registration statement on Form S-3ASR (Registration Statement No. 333-280407) which automatically became effective upon filing with the Securities and Exchange Commission (SEC), along with a prospectus supplement and accompanying base prospectus filed with the SEC.

The Underwriting Agreement entails traditional representations, warranties, and agreements by Crinetics Pharmaceuticals, customary closing conditions, indemnification responsibilities for liabilities under the Securities Act of 1933, and termination provisions. The descriptions contained within the Underwriting Agreement are limited and should be referenced in full for complete understanding. Additionally, Morrison & Foerster LLP provided an opinion regarding the validity of the shares of common stock issued in this offering.

Accompanying the announcement, the company released press releases on October 8, 2024, disclosing the commencement and pricing of the offering. Interested parties are advised to exercise caution while considering the forward-looking statements provided in the report. Crinetics Pharmaceuticals encourages potential investors to review the risks outlined under the “Risk Factors” section in its periodic filings with the SEC.

Notably, Crinetics Pharmaceuticals does not intend to publicly update or revise the forward-looking statements in the report unless required by law. Further details and the complete text of the Underwriting Agreement, along with pertinent documents, can be accessed in the official filings of the company.

This article was generated by an automated content engine and was reviewed by a human editor prior to publication. For additional information, read Crinetics Pharmaceuticals’s 8K filing here.

Crinetics Pharmaceuticals Company Profile

Crinetics Pharmaceuticals, Inc, a clinical-stage pharmaceutical company, focuses on the discovery, development, and commercialization of novel therapeutics for rare endocrine diseases and endocrine-related tumors. The company's lead product candidate is paltusotine, an oral selective nonpeptide somatostatin receptor type 2 agonist, which is in Phase 3 trial for the treatment of acromegaly; and Phase 2 trial for treating carcinoid syndrome associated with neuroendocrine tumors.