Orchestra BioMed prices 9.4M shares at $2.75 in underwritten public offering

Orchestra BioMed (OBIO) announced the pricing of an underwritten public offering of 9,413,637 shares of its common stock at a price to the public of $2.75 per share and, in lieu of common stock to certain investors, pre-funded warrants to purchase 5,136,363 shares of its common stock at a price to the public of $2.7499 per pre-funded warrant, which represents the per share public offering price for the shares of common stock less the $0.0001 per share exercise price for each pre-funded warrant. In addition, the Company granted the underwriters a 30-day option to purchase up to an additional 2,182,500 shares of its common stock at the public offering price per share, less underwriting discounts and commissions. All of the securities are being offered by the Company. The Offering is expected to close on August 4, subject to customary closing conditions. The gross proceeds from the Offering, before deducting underwriting discounts and commissions and estimated offering expenses, are expected to be approximately $40M, assuming no exercise of the underwriters’ option. The Company intends to use the net proceeds from the Offering, together with its existing cash and cash equivalents, to fund the Company’s atrioventricular interval modulation therapy program and the execution of the BACKBEAT study and to fund its Virtue Sirolimus AngioInfusion Balloon program and the planned Virtue SAB trial, as well as research and clinical development of other current or additional product candidates, and the remainder for working capital and other general corporate purposes. Piper Sandler and TD Cowen are acting as joint book-running managers for the Offering.