ProKidney Closes $140M Public Offering and Concurrent Direct Offering

WINSTON-SALEM, N.C., June 17, 2024 – ProKidney Corp. (Nasdaq: PROK), a prominent company in the late stages of clinical development for cellular therapeutics targeting chronic kidney disease, announced the successful closure of its SEC-registered underwritten public offering and concurrent registered direct offering. In the public offering, ProKidney issued 46,886,452 Class A ordinary shares, which included an additional 4,142,232 shares due to the underwriters exercising their option to purchase extra shares. Each share was priced at $2.42, excluding applicable underwriting discounts and commissions. Concurrently, ProKidney sold 11,030,574 Class A ordinary shares to specified investment entities at the same per-share price of $2.42 under share purchase agreements.

The company plans to utilize the net proceeds from these offerings to cover clinical trial expenses and other research and development activities. This includes continuing investments in its drug development platform, advancing pre-commercial and commercial activities, such as its commercial manufacturing facility, and addressing general corporate needs like working capital, capital expenditures, and administrative costs.

Bruce Culleton, M.D., Chief Executive Officer of ProKidney, expressed enthusiasm about the successful completion of the upsized public offering and the concurrent registered direct offering. According to Culleton, this funding extends the company's financial stability until mid-2026 and supports the expected full enrollment of both the PROACT 1 and PROACT 2 Phase 3 trials. He emphasized that this financial boost is a critical milestone in the company's efforts to advance rilparencel for patients with advanced chronic kidney disease.

The underwritten public offering had Jefferies, J.P. Morgan, and Guggenheim Securities as joint book-running managers, with PJT Partners acting as a co-manager. PJT Partners also served as a financial advisor to ProKidney in connection with these offerings.

A shelf registration statement for the Class A ordinary shares was filed with the Securities and Exchange Commission (SEC) and became effective on November 30, 2023. Associated preliminary and final prospectus supplements and the accompanying prospectus for the public offering have been filed with the SEC and are accessible on the SEC’s website.

ProKidney, established in 2015 following a decade of research, is at the forefront of treating chronic kidney disease through cellular therapy innovations. The company's primary product candidate, rilparencel (also called REACT®), is a pioneering, patented autologous cellular therapy designed to potentially preserve kidney function in diabetic patients at high risk of kidney failure. Rilparencel has received Regenerative Medicine Advanced Therapy (RMAT) designation and guidance from both the FDA and EMA, supporting its ongoing Phase 3 clinical program.

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