Viking Therapeutics Inc. announced the pricing of a concurrent public offering comprising common stock and convertible senior notes, targeting total proceeds of roughly $500 million. The company will offer 7,857,143 shares of its common stock at a price of $35.00 per share.
The equity portion is expected to generate approximately $258.2 million in net proceeds, with the potential to increase to $297.0 million if underwriters fully exercise their 30‑day over‑allotment option for an additional 1,178,571 shares.
At the same time, Viking Therapeutics issued $225.0 million of convertible senior notes maturing on October 15, 2032. The notes carry a 2.00% annual coupon, payable semi‑annually beginning April 15, 2027, and have an initial conversion rate of 19.7044 shares per $1,000 principal, which translates to a conversion price of about $50.75 per share—a 45% premium to the stock offering price.
Net proceeds from the notes are estimated at $218.0 million, rising to $250.8 million should the underwriters take up their option to purchase up to $33.75 million of additional notes.
Morgan Stanley, J.P. Morgan, Jefferies, Leerink Partners and William Blair serve as joint book‑running managers for the note offering, while Raymond James joins the group as book‑running manager for the stock tranche and Oppenheimer & Co. acts as lead manager for the equity offering. The two offerings are independent of each other and are slated to settle on Friday, pending customary closing conditions.
Proceeds will fund the continued clinical development of the VK2735 and VK3019 programs, as well as general research and development, working capital and other corporate purposes. The shelf registration statement was filed with the Securities and Exchange Commission.
