The Netherlands-based immunology company said Wednesday it brought in $1.1 billion by selling more than two million shares in the U.S. and Europe.
Pictured: Photo of an argenx building/argenx
Netherlands-based argenx has raised about $1.1 billion through the sale of more than two million shares in a global stock offering in the U.S. and Europe, according to a Wednesday announcement.
The news comes two days after argenx launched the global offering, putting up for sale $750 million of its ordinary shares at the time. The launch followed the release of positive Phase II data for Vyvgart Hytrulo (efgartigimod alfa and hyaluronidase-qvfc) in adults with chronic inflammatory demyelinating polyneuropathy (CIDP).
The company said the $1.1 billion in total gross proceeds comes from the sale of 1,580,981 American Depository Shares (ADSs) at a price of $490.00 each in the U.S. and 663,918 ordinary shares at a price of €436.37 each in Europe. Also, argenx has granted the underwriters of the offering a 30-day option to purchase up to 336,734 ordinary shares, which may be represented by ADSs.
Both the U.S. offering and the European private placement are expected to close on July 24.
Original article, published July 18:
Argenx to Sell $750M in Shares Following Promising CIDP Data
Netherlands-based argenx launched a global offering Monday, putting up for sale $750 million of its ordinary shares.
Argenx’s fundraise follows promising data from the Phase II ADHERE study of its Vyvgart Hytrulo (efgartigimod alfa and hyaluronidase-qvfc) in adults with the rare disease chronic inflammatory demyelinating polyneuropathy (CIDP).
Vyvgart Hytrulo met the study’s primary endpoint and cut the risk of relapse by 61% as compared with placebo, an effect that was highly statistically significant. Additionally, 67% of patients in ADHERE’s open-label stage showed evidence of clinical improvement.
“CIDP is a chronic, progressive autoimmune disease that can cause substantial disability in those affected, often leading to impaired ambulation or difficulty completing normal daily tasks without help,” Jeffrey Allen, an associate professor at the University of Minnesota who has served as a consultant for the company, said in a statement.
The condition arises when the body’s immune system attacks and damages the protective myelin covering of nerves, leading to injuries in the peripheral nervous system that manifests as muscle weakness, fatigue and impaired limb function.
Though the exact pathological mechanisms underlying CIDP are still not completely known, emerging evidence have suggested that IgG antibodies play a key role in disease development. Vyvgart Hytrulo is a subcutaneous formulation of a human IgG1 antibody fragment that binds to the neonatal Fc receptor and reduces the circulating levels of IgG, thereby potentially addressing a core cascade in CIDP.
Vyvgart, the intravenous infusion formulation of the of the Fc receptor blocker, is already approved for certain patients with generalized myasthenia gravis, another chronic autoimmune disease characterized by muscle weakness.
ADHERE tested Vyvgart Hytrulo in a two-part study. The trial enrolled 322 patients in the open-label stage, which evaluated evidence of clinical improvement as determined by the Inflammatory Neuropathy Cause and Treatment Disability Score, the Inflammatory Rasch-built Overall Disability Scale or grip strength.
Responders in the first part entered the second, placebo-controlled stage of ADHERE, where the study’s primary endpoint of risk of relapse was assessed.
The Phase II trial also looked at safety and found that Vyvgart Hytrulo was well-tolerated, with a safety profile consistent with what had been established in prior studies. The most common side effect was injection site reactions, all of which were mild to moderate in severity and resolved over time.
The global offering announced by argenx following these results will be represented by American Depository Shares (ADSs) in the U.S. and other countries beyond the European Economic Area, as well as a private placement of ordinary shares in the U.K. and in the European Economic Area, according to the company’s news release. ADSs represents the right to receive the same number of ordinary shares at a value of €0.10 each.
Tristan Manalac is an independent science writer based in metro Manila, Philippines. He can be reached at tristan@tristanmanalac.com or tristan.manalac@biospace.com.
