Stoke Therapeutics, Inc. (NASDAQ: STOK) has successfully priced an upsized underwritten public offering of 5,555,557 shares of its common stock at $13.50 per share, along with pre-funded warrants to purchase up to 3,703,730 shares of its common stock at $13.4999. This results in an expected gross proceeds of $125 million, before deducting underwriting discounts, commissions, and other offering expenses.
The offering is anticipated to close on or about April 2, 2024, and includes an option for underwriters to purchase up to an additional 1,388,893 shares of common stock. All the shares of common stock and pre-funded warrants are being offered by Stoke.
The net proceeds from this offering, together with the company's existing cash and cash equivalents, will be utilized to fund research, clinical and process development, and manufacturing of its product candidates. This includes late-stage development of STK-001 and further development of STK-002, as well as developing additional product candidates, working capital, capital expenditures, and other general corporate purposes.
Stoke Therapeutics, a biotechnology company dedicated to addressing severe diseases by upregulating protein expression with RNA-based medicines, is using its proprietary tango approach to develop antisense oligonucleotides (ASOs) for selectively restoring protein levels. STK-001, the company's first compound, is in clinical testing for the treatment of Dravet syndrome, a severe and progressive genetic epilepsy. The company is also pursuing the development of STK-002 for the treatment of autosomal dominant optic atrophy (ADOA), the most common inherited optic nerve disorder.
The market has reacted to these announcements by moving the company's shares -4.7% to a price of $13.5. For more information, read the company's full 8-K submission here.
