Ardelyx’s $144 Million Follow-On Public Offering

Latham & Watkins acted as special counsel to Ardelyx, Inc., while Davis Polk advised the joint book-running managers for the public offering of common stock by Ardelyx, Inc.

Ardelyx issued 20,000,000 shares of its common stock, par value $0.0001 per share to the Underwriters. The price to the public in this offering is $6.250 per Share.

The Underwriters have agreed to purchase the Shares from the Company pursuant to the Underwriting Agreement at a price of $5.875 per Share. The gross proceeds to the Company from this offering are expected to be $125,000,000, before deducting underwriting discounts and commissions and offering expenses payable by the Company.

In addition, under the terms of the Underwriting Agreement, the Company granted the Underwriters the option, for 30 days, to purchase up to 3,000,000 additional shares of Common Stock at the public offering price.

The underwriters involved in this offering were Citigroup Global Markets Inc., Cowen and Company, LLC, SVB Leerink LLC, and Piper Jaffray & Co.

Based in Fremont, California, Ardelyx, Inc. is a clinical-stage biopharmaceutical company focused on enhancing the way patients with cardiorenal and gastrointestinal diseases are treated by using the gut as the gateway to delivering medicines that matter.

The Davis Polk corporate team included partners Alan F. Denenberg (Picture) and Stephen Salmon and associates Donald K. Lang and Sherry Tan. The tax team included partner Rachel D. Kleinberg and associate Adam R. Brownstone. The intellectual property and technology team included partner Frank J. Azzopardi and associate Jennifer Leather.

Involved fees earner: Frank Azzopardi – Davis Polk & Wardwell; Adam Brownstone – Davis Polk & Wardwell; Alan Denenberg – Davis Polk & Wardwell; Rachel Kleinberg – Davis Polk & Wardwell; Donald Lang – Davis Polk & Wardwell; Jennifer Leather – Davis Polk & Wardwell; Stephen Salmon – Davis Polk & Wardwell; Sherry Tan – Davis Polk & Wardwell;

Law Firms: Davis Polk & Wardwell;

Clients: Citigroup Global Markets Ltd; Cowen and Company; Piper Jaffray & Co; SVB Leerink LLC;

Author: Ambrogio Visconti