SOUTH SAN FRANCISCO, Calif., Sept. 26, 2013 /PRNewswire/ -- KaloBios Pharmaceuticals, Inc. (KaloBios) (NASDAQ: KBIO) today announced the pricing of an underwritten public offering of 7,500,000 shares of its common stock at a price to the public of $4.00 per share. The net offering proceeds to KaloBios are expected to be approximately $27,855,000 million, after deducting underwriting discounts and commissions and other estimated offering expenses payable by the company, but excluding any exercise of the underwriters' over-allotment option.
KaloBios anticipates using the net proceeds from this offering to develop and advance its product candidates through clinical trials, as well as for working capital and other general corporate purposes. The offering is expected to close on or about October 1, 2013, subject to customary closing conditions. In addition, KaloBios has granted the underwriters a 30-day option to purchase up to an additional 1,125,000 shares of common stock on the same terms and conditions, solely to cover over-allotments, if any.
Leerink Swann LLC is acting as the sole book-running manager for the offering. William Blair & Company, L.L.C., Needham & Company LLC, and JMP Securities LLC are acting as co-managers for the offering.The shares described above will be issued pursuant to a shelf registration statement on Form S-3 previously filed with and declared effective by the Securities and Exchange Commission (SEC) and a prospectus supplement thereto has been filed with the SEC. The offering may be made only by means of a prospectus supplement and the accompanying prospectus, copies of which may be obtained by sending a request to: Leerink Swann LLC, Attention: Syndicate Department, One Federal Street, 37th Floor, Boston, MA 02110, or via telephone at (800) 808-7525. KaloBios intends to file a final prospectus supplement relating to the offering with the SEC, which will be available along with the accompanying prospectus filed with the SEC in connection with the shelf registration, on the SEC's website at www.sec.gov. This press release does not constitute an offer to sell or a solicitation of an offer to buy any securities of KaloBios, nor shall there be any sale of securities in any state or jurisdiction in which such an offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction. This press release is being issued pursuant to and in accordance with Rule 134 under the Securities Act of 1933, as amended.