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Intra-Cellular launches $500 million stock offering

EditorNatashya Angelica
Published 16/04/2024, 21:22
ITCI
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NEW YORK - Intra-Cellular Therapies, Inc. (NASDAQ:ITCI), a biopharmaceutical company, announced today its initiation of a $500 million underwritten public offering of common stock. The company also plans to provide underwriters a 30-day option to purchase additional shares, up to 15% of the total offered.

This move by the New York-based company, known for developing treatments for central nervous system disorders, is subject to market conditions, and there is no certainty regarding the completion or terms of the offering. The shares will be sold directly by Intra-Cellular Therapies.

The offering is made through a shelf registration statement on Form S-3, effective upon filing with the Securities and Exchange Commission (SEC). A preliminary prospectus supplement detailing the offering terms will be filed with the SEC.

J.P. Morgan, Leerink Partners, BofA Securities, Morgan Stanley (NYSE:MS), and RBC Capital Markets have been appointed as joint book-running managers for this offering.

Intra-Cellular Therapies, founded on Nobel prize-winning research, leverages an intracellular approach for creating innovative treatments for psychiatric and neurologic diseases.

The company's forward-looking statements indicate anticipation for the public offering but also acknowledge risks and uncertainties that could affect the outcome, including market conditions and the completion of the offering.

The final terms will be outlined in a final prospectus supplement filed with the SEC. This press release does not constitute an offer to sell or a solicitation of an offer to buy the securities, and there will be no sale in jurisdictions where such an offer, solicitation, or sale would be unlawful before registration or qualification under the securities laws.

This news article is based on a press release statement from Intra-Cellular Therapies.

InvestingPro Insights

In light of Intra-Cellular Therapies Inc.'s (NASDAQ:ITCI) announcement of a significant public offering, investors may be keen on understanding the company's financial health and market performance. According to InvestingPro data, Intra-Cellular Therapies has a market capitalization of $7.73 billion and has shown impressive revenue growth over the last twelve months as of Q4 2023, with an increase of 85.51%. This growth trajectory is further highlighted by a quarterly revenue growth of 50.34% in Q1 2023.

Despite not being profitable in the last twelve months, with a negative operating income margin of -34.32%, the company's liquid assets surpass its short-term obligations, indicating a degree of financial stability. This is a critical factor for investors to consider, especially when evaluating the potential risks and rewards of participating in the public offering. Moreover, Intra-Cellular Therapies operates with a moderate level of debt, which is a reassuring sign for investors concerned about the company's leverage and long-term financial commitments.

An InvestingPro Tip worth noting is that Intra-Cellular Therapies is trading near its 52-week high, with the price at 88.95% of the peak, and has experienced a high return over the last decade. This suggests a strong performance history, which may be attractive to investors looking for growth opportunities. However, the company is trading at a high Price / Book multiple of 11.08, and analysts do not anticipate the company will be profitable this year, which could be a point of consideration for those evaluating the stock's valuation.

For investors interested in a deeper dive into Intra-Cellular Therapies' performance and for additional InvestingPro Tips, including the company's debt levels and return over the last five years, visit https://www.investing.com/pro/ITCI. Remember to use the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription. In total, there are eight additional InvestingPro Tips available that could provide further insights into the company's financial health and market position.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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