Benzinga | Apr 28, 2021 06:10AM EDT

Aldeyra Seeks To Raise $125M Via Equity To Support Reproxalap US Application

* Aldeyra Therapeutics Inc (NASDAQ: ALDX) intends to sell $125 million shares of its common stock in an underwritten public offering.

* Underwriters will have an option to purchase up to an additional $18.75 million of shares.

* Aldeyra intends to use the net proceeds to prepare a potential marketing application submission of its lead compound, reproxalap, the preparations for its commercial launch, if approved, pipeline development programs, and working capital purposes.

* Jefferies and SVB Leerink are acting as joint book-running managers for the offering.

* Yesterday, the company announced positive top-line results from the Phase 3 trial evaluating 0.25% reproxalap in allergic conjunctivitis, sending shares to climb more than 30%.

* Data showed that Reproxalap easily achieved the primary endpoint of the study (reduction in eye itching) and secondary endpoints with a high level of statistical significance.

* Aldeyra's next step is to meet with the FDA about a path to approval for reproxalap. This meeting is expected to take place in the second half of this year, with a potential regulatory filing for approval on the way afterward.

* The company had cash and equivalents of $138.4 million as of March 31, 2021.

* Price Action: ALDX shares are down 5.4% at $14.05 in the premarket on the last check Wednesday.