Nektar Therapeutics Secures Major Funding as Shares Rally

Nektar Therapeutics tapped into a sharp rally in its shares to strengthen its balance sheet with a substantially upsized public offering, pulling in gross proceeds of $460 million and net proceeds of $432 million. The capital raise is earmarked to support Rezpegaldesleukin (REZPEG) in its Phase 3 program, the company?s primary near-term objective.

Key terms of the financing
- Gross proceeds: $460,000,000
- Net proceeds: $432,000,000
- Offer price: $58.00 per share
- Primary use: Financing Rezpegaldesleukin Phase 3 trials

Strong demand prompts upsizing

The financing was completed amid robust investor interest, leading Nektar to enlarge the offering above its initial plan. In total, more than 7.6 million shares were placed, with the joint book-running banks?Jefferies, TD Cowen, and Piper Sandler?fully exercising their overallotment options. Although the $58.00 per-share price was below current market levels, the arrangement provided the company with a rapid influx of liquidity.

Positive data and a propping stock move

The broader market reaction to the deal was buoyed by encouraging Phase 2b results for the company?s candidate, Rezpegaldesleukin (REZPEG), in REZOLVE-AD. In patients with moderate to severe atopic dermatitis, the 36-week data showed that 83% of those receiving a biquarterly dosing schedule sustained a skin-improvement level of at least 75%. This upbeat data narrative helped push Nektar?s stock toward roughly $71 on the session, a notable jump from the 52-week low of $6.50.

Where the funds go and what comes next

The net proceeds, totaling $432 million, are planned to be deployed to advance the company?s pipeline, with top priority given to financing the upcoming Phase 3 studies for Rezpegaldesleukin. Additional allocations will support the expansion of manufacturing capacity and general corporate financing.

With this financing round closed, Nektar says it is well positioned to advance the next, cost-intensive stages of product development without immediate financial strain. Market observers are now focusing on the planned start of patient recruitment for the pivotal, late-stage trials later this year.