Viridian Therapeutics drops on increased stock, convertible bond offerings

Viridian Therapeutics

07/05/2026 15:39

** Viridian Therapeutics' VRDN.O shares down 2.9% to $17.02 in early Thurs trading after $350 mln raise

** Co late Weds announced pricing of ~7.35 mln shares at $17 for $125 mln gross proceeds and $225 mln 1.75% 6-yr convertible bonds (CBs)

** VRDN shares closed up 33% at $18.75 on Tues after co said its thyroid eye disease drug, elegrobart, met the main goal in late-stage trial in chronic patients

** Late Tues, co commenced offerings of $100 mln in stock and $150 mln CBs to repay all outstanding indebtedness under agreement with Hercules Capital HTGC.N, to fund its TED franchise, among other purposes

** Initial conversion price on the CBs of $24.65 represents 45% premium to offering price of the stock offering

** Jefferies, Leerink and Goldman Sachs joint bookrunners for the offerings

** With the move on Thurs, stock down 45% YTD

** 16 of 17 analysts rate the stock "strong buy" or "buy", 1 "hold"; median PT $32.50, according to LSEG data

(Lance Tupper is a Reuters market analyst. The views expressed are his own)

((lance.tupper@tr.com 1-646-279-6380))