Sutro Biopharma Announces Pricing of $75 Million Underwritten Offering
April 02 2024 - 6:18AM
Sutro Biopharma, Inc. (Sutro or the Company) (NASDAQ: STRO), a
clinical-stage oncology company pioneering site-specific and
novel-format antibody drug conjugates (ADCs), today announced the
pricing of an underwritten offering of 14,478,764 shares of its
common stock at a price of $5.18 per share. The gross
proceeds from this offering are expected to be
approximately $75.0 million, before deducting underwriting
discounts and commissions and other offering expenses payable by
Sutro. All of the shares of common stock are being offered by
Sutro. The offering is expected to close on or about April 4,
2024, subject to the satisfaction of customary closing conditions.
The offering was led by a high quality group of new and existing
healthcare focused institutional investors.
Sutro intends to use the net proceeds of this offering, together
with its existing cash, cash equivalents and marketable securities,
primarily for general corporate purposes, which may include funding
research, clinical and process development and manufacturing of its
product candidates, increasing its working capital, developing its
commercialization infrastructure, expanding its manufacturing
capabilities, acquisitions or investments in businesses, products
or technologies that are complementary to its own, capital
expenditures and other general corporate purposes.
BofA Securities is acting as sole book-running manager in the
offering.
The shares are being offered by Sutro pursuant to a registration
statement previously filed and declared effective by the Securities
and Exchange Commission (SEC). A prospectus supplement and
accompanying prospectus relating to and describing the terms of the
offering will be filed with the SEC and will be available on the
SEC’s website at www.sec.gov. Copies of the prospectus supplement
and accompanying prospectus may also be obtained, when available,
from: BofA Securities, NC1-0220-02-25, Attention: Prospectus
Department, 201 North Tryon Street, Charlotte, North Carolina,
28255-0001, or by email at dg.prospectus_requests@bofa.com.
This press release shall not constitute an offer to sell or the
solicitation of an offer to buy any securities of Sutro, nor shall
there be any sale of these securities in any state or jurisdiction
in which such offer, solicitation or sale would be unlawful prior
to registration or qualification under the securities laws of any
such state or jurisdiction.
About Sutro Biopharma
Sutro Biopharma, Inc. is a clinical-stage company relentlessly
focused on the discovery and development of precisely designed
cancer therapeutics, to transform what science can do for patients.
Sutro’s fit-for-purpose technology, including cell-free XpressCF®,
provides the opportunity for broader patient benefit and an
improved patient experience. Sutro has multiple clinical stage
candidates, including luveltamab tazevibulin, or luvelta, a
registrational-stage folate receptor alpha (FolRα)-targeting ADC in
clinical studies. A robust pipeline, coupled with high-value
collaborations and industry partnerships, validates Sutro’s
continuous product innovation. Sutro is headquartered in South San
Francisco.
Forward-Looking Statements
This press release contains forward-looking statements within
the meaning of the “safe harbor” provisions of the Private
Securities Litigation Reform Act of 1995, including, but not
limited to, statements the Company makes regarding its expectation
of market conditions and the satisfaction of customary closing
conditions related to the offering and sale of securities, the
Company's ability to complete the offering, anticipated gross
proceeds from the offering and expected use of proceeds;
anticipated preclinical and clinical development activities,
including enrollment and site activation; timing of announcements
of clinical results, trial initiation, and regulatory filings;
outcome of regulatory decisions; potential benefits of luvelta and
the Company’s other product candidates and platform; potential
expansion into other indications and combinations, including the
timing and development activities related to such expansion;
potential market opportunities for luvelta and the Company’s other
product candidates; and the Company’s expected cash runway. All
statements other than statements of historical fact are statements
that could be deemed forward-looking statements. Although the
Company believes that the expectations reflected in such
forward-looking statements are reasonable, the Company cannot
guarantee future events, results, actions, levels of activity,
performance or achievements, and the timing and results of
biotechnology development and potential regulatory approval is
inherently uncertain. Forward-looking statements are subject to
risks and uncertainties that may cause the Company’s actual
activities or results to differ significantly from those expressed
in any forward-looking statement, including risks and uncertainties
related to the Company’s ability to advance its product candidates,
the receipt and timing of potential regulatory designations,
approvals and commercialization of product candidates and the
Company’s ability to successfully leverage Fast Track designation,
the market size for the Company’s product candidates to be smaller
than anticipated, clinical trial sites, supply chain and
manufacturing facilities, the Company’s ability to maintain and
recognize the benefits of certain designations received by product
candidates, the timing and results of preclinical and clinical
trials, the Company’s ability to fund development activities and
achieve development goals, the Company’s ability to protect
intellectual property, the value of the Company’s holdings of
Vaxcyte common stock, and the Company’s commercial collaborations
with third parties and other risks and uncertainties described
under the heading “Risk Factors” in documents the Company files
from time to time with the Securities and Exchange Commission.
These forward-looking statements speak only as of the date of this
press release, and the Company undertakes no obligation to revise
or update any forward-looking statements to reflect events or
circumstances after the date hereof.
ContactEmily WhiteSutro Biopharma(650)
823-7681ewhite@sutrobio.com
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