Category: IPOs

Regenxbio raises $75 million in stock offering

REGENX FINAL

ROCKVILLE, MDRegenxbio Inc. has raised $75 million in a public stock offering that began Tuesday, according to a filing with the Securities and Exchange Commission.

The company sold 3.7 million shares of common stock priced at $20.50 per share.

Regenxbio entered into an underwriting agreement with Morgan Stanley & Co. and Merrill Lynch, Pierce, Fenner & Smith Inc. The company granted the underwriters a 30-day option to purchase up to an additional 555,000 shares of common stock.

Pursuant to the initial offering, Regenxbio’s net proceeds are expected to be approximately $70.8 million, after deducting discounts, commissions and offering expenses.

Regenxbio, founded in 2008, is a clinical-stage biotechnology company that develops gene therapy products. The company intends to use a portion of the net proceeds to grow the pipeline of new product candidates through in-licenses or potential acquisitions.

The company trades on Nasdaq under the ticker RGNX. Shares closed Friday at $20.15, up 0.5 percent.

The offering is expected to close on March 27.

This story is from the Maryland Business News Wire, a service of UNC-Chapel Hill’s School of Media and Journalism

Laureate Education resumes preparation for IPO

LaureateBALTIMORE, MD — Laureate Education Inc., a Baltimore-based for-profit university, plans to raise $667 million via 29 million shares sold between $17 and $20 each, according to its revised plans to go public this year.

The on-campus and online institution first registered for securities in October 2015. Since then, it has amended the file six times. In December, the company reported the shares will trade on the NASDAQ under the ticker symbol LAUR.

Primary underwriters of the IPO include Credit Suisse, Morgan Stanley and Barclays. They will have options to an additional 4.35 million shares.

Chief Executive Officer Doug Becker owns more than 675,000 shares of the company. If the offering prices at the midpoint of the current range, those shares would be worth $12.5 million.

Last month, Laureate Education sold 400,000 shares in a $400 million private placement offering to investors that included Kohlberg, Kravis & Roberts, a well-known New York-based buyout firm.  A limited partnership of which KKR is a member owns 126 million shares, or 94.6 percent, of the company. At the midpoint price of the offering, those shares would be worth $2.3 billion.

Laureate was taken private in a management-led $3.8 billion buyout in 2007, backed by an investor group including KKR and Citigroup Inc.

Laureate International boasts a student body of which 95 percent reside outside the United States and reports to own, manage or partner with 71 institutions in 25 countries with 80 percent of its revenues originating abroad.

In the third quarter of 2016, Laureate International earned $330.5 million in net income, up 210 percent from millions of dollars in losses by the same time the prior year.

Cash flows from operating and investing activities amounted to $588.3 million, and cash flows used in financing activities were $572.7 million.

Although for-profit higher learning institutions historically have received skepticism, Laureate may be a player in the growing notion that graduate degrees are valuable no matter the school from which they come — whether that idea is founded or not — as MarketWatch reported last month.

This story is from the Maryland Business News Wire, a service of UNC-Chapel Hill’s School of Media and Journalism

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