RADNOR, PA — Mineralys Therapeutics, Inc. (Nasdaq: MLYS), a biopharmaceutical company focused on developing novel therapies, announced this week that it has secured approximately $120 million in private placement financing, also known as a PIPE deal. The funds, which are gross proceeds before the deduction of estimated fees and expenses, will be used to accelerate the company’s research and development initiatives.
The financing round observed participation from both new and existing investors. TCGX led the round, marking its first investment in Mineralys. RA Capital Management, an existing investor, also contributed significantly. Other participants included OrbiMed and Venrock Healthcare Capital Partners, new investors, and Samsara BioCapital, an existing investor, among others.
As part of the agreement, Mineralys will sell roughly 8.9 million shares of its common stock at $13.50 per share. Alternatively, investors could opt for pre-funded warrants at $13.499 each, with a nominal exercise price of $0.001 per share of common stock. These warrants can be exercised immediately and have no expiry date. The deal is slated to close on February 12, 2024, subject to standard closing conditions.
Proceeds from the PIPE deal will primarily fund the research and development of lorundrostat, a drug currently under development by Mineralys. Remaining funds will be allocated towards working capital and general corporate purposes.
BofA Securities and Evercore are acting as placement agents for Mineralys in this transaction. As the securities involved in the PIPE deal are not registered under the Securities Act of 1933, they can only be offered or sold in the United States under an effective registration statement or an exemption from the registration requirements. To comply, Mineralys has agreed to file a registration statement with the Securities and Exchange Commission (SEC) for the resale of the common stock and stock issuable upon exercising the pre-funded warrants involved in this PIPE deal.
This significant financing milestone underscores the confidence investors have in Mineralys Therapeutics’ potential and its ongoing research and development efforts. It’s a promising boost for the company’s pursuit of innovative solutions in the biopharmaceutical industry.
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