Soleno Therapeutics Announces Public Offering of Common Stock - May 02, 2024

Soleno Therapeutics, Inc., a clinical-stage biopharmaceutical company based in Redwood City, California, announced plans to offer and sell shares of its common stock through an underwritten public offering. This initiative also includes granting underwriters a 30-day option to purchase an additional 15% of the shares sold in the offering. The completion of this public offering is contingent on market conditions, and there are no guarantees regarding its final terms or timeline.

Piper Sandler and Guggenheim Securities are the joint book-running managers for this public offering. Soleno Therapeutics intends to use the funds raised from the offering to advance its lead candidate, DCCR tablets for the treatment of Prader-Willi Syndrome (PWS). Additionally, the proceeds will support general corporate needs, such as working capital, capital expenditures, other clinical trials, and potentially acquisitions of complementary products, technologies, or businesses, although no specific acquisition plans are in place at this moment.

The securities involved in this public offering are being offered under a registration statement on Form S-3ASR, which was previously filed with and automatically declared effective by the Securities and Exchange Commission (SEC) on January 2, 2024. A preliminary prospectus supplement and the accompanying prospectus related to this offering will be filed with the SEC. Once available, these documents can be obtained from Piper Sandler & Co. or Guggenheim Securities, LLC, as well as electronically via the SEC's website. The detailed terms of the public offering will be disclosed in a final prospectus supplement filed with the SEC.

It is important to note that this press release is not an offer to sell or a solicitation to buy these securities. Such offers or sales would be unlawful in jurisdictions where registration or qualification under local securities laws has not been completed.

Soleno Therapeutics focuses on developing and commercializing innovative treatments for rare diseases. Their primary candidate, DCCR (diazoxide choline) extended-release tablets, is a once-daily oral medication for treating Prader-Willi Syndrome. This candidate recently completed Phase 3 of its development program, paving the way for a planned New Drug Application (NDA) submission.

The announcement highlights Soleno's commitment to advancing therapies for rare conditions and underscores the financial strategies being employed to support their mission. The company's ongoing efforts in research and development, along with its strategic financial maneuvers, are geared towards bringing effective treatments to market and addressing unmet medical needs in the rare disease sector.