Arya Sciences Acquisition Corp III, of New York, a special purpose acquisition company (SPAC), said it priced its IPO of 13 million class A ordinary shares at $10 each. The shares will trade on Nasdaq under the ticker symbol ARYA. The underwriters have been granted a 45-day option to purchase up to an additional 1.95 million class A ordinary shares to cover overallotments. The company’s focus will be on the U.S. health care industry and other developed countries and target businesses with valuations of $300 million to $500 million or more and that have the potential to be $1 billion or more market capitalization companies.
Biohaven Pharmaceutical Holding Co. Ltd., of New Haven, Conn., said it secured up to $250 million in funding from New York-based Royalty Pharma to advance its CGRP receptor antagonist program through the development of zavegepant (formerly known as vazegepant). The program encompasses intranasal zavegepant as well as oral zavegepant for migraine prevention and non-migraine indications. Royalty Pharma will receive a 0.4% royalty on annual worldwide net sales of Nurtec ODT and if certain zavegepant regulatory approvals are achieved, a royalty of up to 3% on annual worldwide net sales of zavegepant and success-based milestone payments that range from 0.6x to 2.95x of the zavegepant funded amount depending on the number of regulatory approvals achieved. Biohaven will receive $150 million at closing and $100 million upon the start of the oral zavegepant phase III program. Royalty Pharma will also provide further support for the ongoing launch of Nurtec ODT through the committed, non-contingent purchase of commercial launch preferred equity from Biohaven for a total of $200 million payable between 2021 and 2024. In return, Biohaven will pay to Royalty Pharma a series of equal fixed payments between 2025 and 2030 with an internal rate of return of approximately 12%. Separately, the company reported it entered a $500 million nondilutive term loan financing facility with investment firm Sixth Street. Upon closing, $375 million will be immediately available. An additional $125 million is committed and available when the net sales of Nurtec ODT (rimegepant) reach $45 million either during the first quarter of 2021 or second quarter of 2021.
Checkmate Pharmaceuticals Inc., of Cambridge, Mass., has priced its IPO of 5 million shares at a price of $15. In June, the company completed an $85 million series C round to continue developing CMP-001, a differentiated Toll-like receptor 9 agonist, for treating anti-PD-1-refractory melanoma and to study additional indications that include front-line melanoma and head and neck squamous cell carcinoma. It will list its shares on Nasdaq under the symbol CMPI.
FSD Pharma Inc., of Toronto, said it closed a previously announced agreement with investors for the purchase and sale of 2.76 million class B subordinate voting shares and warrants to purchase 1.38 million shares at a purchase price of $3.62 per share in a $10 million registered direct offering. Each share was sold together with one-half of one warrant with an exercise price of $4.26 per share. The company has also granted the A.G.P./Alliance Global Partners an option to arrange for purchases of up to an additional $10 million of securities on the same terms for a period of 30 days following the initial closing.
Freeline Therapeutics Holdings plc, of London, a clinical-stage, AAV-based gene therapy company, said it priced its U.S. IPO of 8.82 million American depositary shares (ADSs), representing 8.82 million ordinary shares at $18 per ADS for total gross proceeds of approximately $158.8 million. The underwriters have been granted a 30-day option to purchase up to an additional 1.32 million ADSs. The ADSs began trading Aug. 7 on Nasdaq under the ticker FRLN and closed flat at $18.
Horizon Therapeutics plc, of Dublin, said it priced its underwritten public offering of 11.8 million of its ordinary shares at $71 each with net proceeds expected to be approximately $798.9 million. The company has also granted the underwriters a 30-day option to purchase up to an additional 1.77 million ordinary shares. The net proceeds will be used for general corporate purposes. Shares of Horizon (NASDAQ:HZNP) closed Aug. 7 at $76.06, up $3.84.