Shares of Solid Biosciences Inc. (NASDAQ: SLDB) rose about 14% after the company confirmed an oversubscribed private placement totaling $240 million with a select group of institutional accredited investors.
The life sciences company, which focuses on precision genetic medicines for neuromuscular and cardiac diseases, entered into a securities purchase agreement with the participating institutional investors. The financing is anticipated to close on or about March 9, 2026, subject to customary closing conditions.
Structure and pricing of the transaction
Under the terms of the offering, Solid Biosciences will sell 14,973,257 shares of common stock at a purchase price of $5.61 per share. In addition, the company is offering pre-funded warrants that together could purchase up to 27,807,482 shares, priced at $5.609 per pre-funded warrant for investors who elect that option. Each pre-funded warrant has an exercise price of $0.001 per share and is exercisable immediately until it is exercised in full.
Investors and use of proceeds
The private placement was anchored by a mix of existing shareholders and new institutional investors. Named participants include Perceptive Advisors, Bain Capital Life Sciences, RA Capital Management, Invus, Vestal Point Capital, Janus Henderson Investors, and Deep Track Capital.
Solid Biosciences said it intends to use net proceeds from the financing to support ongoing pipeline development programs, business development activities, working capital needs, and other general corporate purposes. The stated transaction amount is presented before deducting placement agent fees and offering expenses.
Placement agents and regulatory compliance
Leerink Partners and Citigroup are acting as joint lead placement agents on the transaction, with Cantor serving as co-lead placement agent. Truist and H.C. Wainwright & Co. are listed as co-placement agents.
The company noted that the private placement was conducted in accordance with applicable Nasdaq rules and was priced to satisfy the Nasdaq "Minimum Price" requirement.
Market reaction
Following the announcement of the oversubscribed financing, the company’s stock moved higher by approximately 14% as investors reacted to the capital raise and the roster of institutional backers participating in the deal.