Fulcrum Therapeutics Sets IPO at 4.5 Million Shares; Sees Pricing at $16-$18 Apiece

By Colin Kellaher

Fulcrum Therapeutics Inc., a biopharmaceutical company backed by GlaxoSmithKline PLC (GSK), on Monday said it will sell 4.5 million common shares in its initial public offering, with an expected price range of $16 to $18 each.

At the $17 midpoint of that range, the Cambridge, Mass., company said it expects net proceeds of about $68 million, or roughly $78.7 million if the underwriters exercise their option to buy an additional 675,000 shares.

Fulcrum said it will use the proceeds, along with cash on hand, to advance losmapimod, its first product candidate, along with other programs and discovery efforts. The company is developing losmapimod for the treatment of facioscapulohumeral muscular dystrophy, a rare, progressive and disabling muscle wasting disorder.

Fulcrum it will have about 23.3 million shares outstanding after the IPO, for a valuation of about $397 million at the $17 midpoint.

Biotech investor Third Rock Ventures will hold a 34.9% stake in Fulcrum after the IPO, while GlaxoSmithKline will own 7.7%, according to a filing with the Securities and Exchange Commission.

Fulcrum said it has applied to list its shares on the Nasdaq Global Market under the symbol FULC.

Write to Colin Kellaher at [e-mail]

(END) Dow Jones Newswires

July 08, 2019 06:58 ET (10:58 GMT)

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