Larimar Therapeutics announces a public offering of 18.75 million shares at $3.20, expected to raise $60 million.
Quiver AI Summary
Larimar Therapeutics, Inc. has announced the pricing of an underwritten public offering of 18,750,000 shares of common stock at $3.20 per share, which is expected to raise approximately $60 million before deductions. The offering, set to close around July 31, 2025, includes a 30-day option for underwriters to purchase an additional 2,812,500 shares. The proceeds will be used to advance the development of Larimar's lead treatment candidate, nomlabofusp, and other pipeline projects, as well as for general corporate purposes. The offering is part of a registration statement effective since May 2024, and interested parties can access relevant documents on the SEC's website.
Potential Positives
- Larimar Therapeutics has successfully priced a public offering of 18,750,000 shares at $3.20 per share, which is expected to raise approximately $60 million in gross proceeds.
- The funds from this offering will be used to support the development of Larimar's lead drug candidate, nomlabofusp, as well as other pipeline candidates, indicating progress in their research and development efforts.
- The company has granted underwriters a 30-day option to purchase additional shares, potentially increasing the total capital raised from the offering.
- The offering is made under a shelf registration statement effectively filed with the SEC, showcasing Larimar's compliance with regulatory requirements and ability to raise funds efficiently.
Potential Negatives
- The pricing of the public offering at $3.20 per share may indicate a perception of the company's stock being undervalued in the market, which could affect investor confidence.
- Dependency on the offering to raise $60 million for development and operational purposes suggests potential financial instability or a lack of sufficient existing capital.
- The granting of an option for underwriters to purchase additional shares may lead to further dilution of existing shareholders' equity.
FAQ
What is the recent public offering announced by Larimar Therapeutics?
Larger Therapeutics announced a public offering of 18,750,000 shares at $3.20 per share, totaling $60 million in expected gross proceeds.
When is the closing date for Larimar's public offering?
The offering is expected to close on July 31, 2025, subject to customary closing conditions.
How will Larimar use the proceeds from the public offering?
The proceeds will support the development of nomlabofusp and other pipeline candidates, plus working capital and corporate expenses.
Who are the underwriters for Larimar's stock offering?
Leerink Partners, Guggenheim Securities, Truist Securities, and William Blair are acting as joint bookrunning managers for the offering.
Where can I find the prospectus for the public offering?
The prospectus is available for free on the SEC's website at www.sec.gov.
Disclaimer: This is an AI-generated summary of a press release distributed by GlobeNewswire. The model used to summarize this release may make mistakes. See the full release here.
$LRMR Hedge Fund Activity
We have seen 53 institutional investors add shares of $LRMR stock to their portfolio, and 54 decrease their positions in their most recent quarter.
Here are some of the largest recent moves:
- ADAGE CAPITAL PARTNERS GP, L.L.C. removed 2,100,000 shares (-100.0%) from their portfolio in Q1 2025, for an estimated $4,515,000
- OPALEYE MANAGEMENT INC. added 1,914,077 shares (+inf%) to their portfolio in Q1 2025, for an estimated $4,115,265
- GOLDMAN SACHS GROUP INC removed 1,480,957 shares (-35.7%) from their portfolio in Q1 2025, for an estimated $3,184,057
- DRIEHAUS CAPITAL MANAGEMENT LLC removed 913,861 shares (-72.0%) from their portfolio in Q1 2025, for an estimated $1,964,801
- JANUS HENDERSON GROUP PLC removed 871,323 shares (-13.5%) from their portfolio in Q1 2025, for an estimated $1,873,344
- FRED ALGER MANAGEMENT, LLC removed 737,553 shares (-100.0%) from their portfolio in Q1 2025, for an estimated $1,585,738
- RENAISSANCE TECHNOLOGIES LLC added 461,429 shares (+89.9%) to their portfolio in Q1 2025, for an estimated $992,072
To track hedge funds' stock portfolios, check out Quiver Quantitative's institutional holdings dashboard.
$LRMR Analyst Ratings
Wall Street analysts have issued reports on $LRMR in the last several months. We have seen 4 firms issue buy ratings on the stock, and 0 firms issue sell ratings.
Here are some recent analyst ratings:
- Guggenheim issued a "Buy" rating on 06/25/2025
- Wedbush issued a "Outperform" rating on 06/24/2025
- Baird issued a "Outperform" rating on 03/25/2025
- HC Wainwright & Co. issued a "Buy" rating on 03/25/2025
To track analyst ratings and price targets for $LRMR, check out Quiver Quantitative's $LRMR forecast page.
$LRMR Price Targets
Multiple analysts have issued price targets for $LRMR recently. We have seen 4 analysts offer price targets for $LRMR in the last 6 months, with a median target of $15.5.
Here are some recent targets:
- Yatin Suneja from Guggenheim set a target price of $26.0 on 06/25/2025
- Laura Chico from Wedbush set a target price of $15.0 on 06/24/2025
- Joel Beatty from Baird set a target price of $10.0 on 03/25/2025
- Edward White from HC Wainwright & Co. set a target price of $16.0 on 03/25/2025
Full Release
BALA CYNWYD, Pa., July 29, 2025 (GLOBE NEWSWIRE) -- Larimar Therapeutics, Inc. (“Larimar”) (Nasdaq: LRMR), a clinical-stage biotechnology company focused on developing treatments for complex rare diseases, today announced the pricing of its previously announced underwritten public offering of 18,750,000 shares of its common stock at a price to the public of $3.20 per share. The aggregate gross proceeds to Larimar from this offering are expected to be $60.0 million, before deducting underwriting discounts and commissions and other offering expenses. In addition, Larimar has granted the underwriters a 30-day option to purchase up to an additional 2,812,500 shares of its common stock at the public offering price, less underwriting discounts and commissions. All shares of common stock are being offered by Larimar. The offering is expected to close on or about July 31, 2025, subject to the satisfaction of customary closing conditions.
Leerink Partners, Guggenheim Securities, Truist Securities and William Blair are acting as joint bookrunning managers for the offering.
Larimar intends to use the net proceeds from the proposed offering to support the development of nomlabofusp and other pipeline candidates, and for working capital and general corporate purposes, including research and development expenses and pre-commercialization expenses.
The offering is being made pursuant to a shelf registration statement on Form S-3 (File No. 333-279275) that was declared effective by the Securities and Exchange Commission (“SEC”) on May 24, 2024. A preliminary prospectus supplement and accompanying prospectus relating to the offering was filed with the SEC on July 29, 2025 and is available for free on the SEC’s website at www.sec.gov. A final prospectus supplement with the final terms of the offering and accompanying prospectus will be filed with the SEC and will be available for free on the SEC’s website at www.sec.gov. Copies of the final prospectus supplement and the accompanying prospectus relating to the offering may be obtained, when available, from Leerink Partners LLC, Attention: Syndicate Department, 53 State Street, 40th Floor, Boston, Massachusetts 02109, by telephone at (800) 808-7525, ext. 6105 or by email at [email protected]; Guggenheim Securities, LLC, Attention: Equity Syndicate Department, 330 Madison Avenue, 8th Floor, New York, New York 10017, by telephone at (212) 518-9544 or by email at [email protected]; Truist Securities, Inc., Attention: Equity Capital Markets, 740 Battery Ave SE, Atlanta, Georgia 30339, by telephone at (800) 685-4786 or by email at [email protected]; or William Blair & Company, L.L.C., Attention: Prospectus Department, 150 North Riverside Plaza, Chicago, Illinois 60606, by telephone at (800) 621-0687 or by email at [email protected].
This press release does not constitute an offer to sell or the solicitation of an offer to buy these securities, nor shall there be any sale of these securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of that state or jurisdiction.
About Larimar Therapeutics, Inc.
Larimar Therapeutics, Inc. (Nasdaq: LRMR), is a clinical-stage biotechnology company focused on developing treatments for complex rare diseases. Larimar’s lead compound, nomlabofusp, is being developed as a potential treatment for Friedreich’s ataxia. Larimar also plans to use its intracellular delivery platform to design other fusion proteins to target additional rare diseases characterized by deficiencies in intracellular bioactive compounds.
Caution Regarding Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Words such as “may,” “might,” “will,” “should,” “believe,” “expect,” “anticipate,” “estimate,” “continue,” “predict,” “forecast,” “project,” “plan,” “intend,” or similar expressions, or statements regarding intent, belief, or current expectations are forward-looking statements and reflect the current beliefs of Larimar’s management. Such forward-looking statements include, without limitation, statements relating to the completion, use of proceeds and anticipated total gross proceeds from the public offering of common stock. These statements are not guarantees of future performance and are subject to certain risks, uncertainties and other factors that could cause actual results and events to differ materially and adversely from those indicated by such forward-looking statements including, among others: risks and uncertainties related to market conditions and the satisfaction of customary closing conditions related to the public offering, and other risks and uncertainties related to the public offering, as well as the risks and uncertainties set forth in the “Risk Factors” section and elsewhere in the prospectus supplement related to the public offering filed with the Securities and Exchange Commission and in our other filings with the Securities and Exchange Commission and available at www.sec.gov, including but not limited to Larimar’s periodic reports, including Larimar’s most recent annual report on Form 10-K, subsequent quarterly reports on Form 10-Q and current reports on Form 8-K. Any forward-looking statements that we make in this announcement speak only as of the date of this press release, and Larimar assumes no obligation to update forward-looking statements whether as a result of new information, future events or otherwise after the date of this press release, except as required under applicable law.
Investor
Contact:
Joyce Allaire
LifeSci Advisors
[email protected]
(212) 915-2569
Company Contact:
Michael Celano
Chief Financial Officer
[email protected]
(484) 414-2715