aibioLegend Biotech launches $225,000,000 ADS offering, then prices 7,700,000 ADSs at $29.35
Tickers LEGN
The offering totals $225,995,000 before underwriting discounts. Underwriters hold a 30-day option for 1,155,000 more ADSs, and closing was expected on June 23, 2026. The shares priced below the last sale price of $33.52.
Key facts
- Company
- Legend Biotech Corporation (NASDAQ: LEGN)
- News type
- Financings
- Primary source
- Legend Biotech Corporation 424B5 (2026-06-17)
The pricing
Legend Biotech Corporation (Nasdaq: LEGN) priced an offering of 7,700,000 American Depositary Shares (ADSs) at $29.35 per ADS, for $225,995,000 in total. Each ADS represents two ordinary shares, so the deal covers 15,400,000 ordinary shares. A preliminary prospectus supplement for a $225,000,000 offering was filed on June 17, 2026, and the final supplement for 7,700,000 ADSs carries the same date.
The offering priced below the $33.52 last reported sale price on Nasdaq on June 17, 2026. The company reported a last sale price of $33.38 on June 16. The underwriting discount is $1.761 per ADS, or $13,559,700, which leaves proceeds before expenses of $27.589 per ADS, or $212,435,300. Estimated offering expenses are about $800,000. The company agreed to reimburse the underwriters up to $20,000 for expenses of clearing the offering with FINRA.
Morgan Stanley, Jefferies, Citigroup and Deutsche Bank Securities are joint bookrunners, and Morgan Stanley Asia Limited, Jefferies LLC and Citigroup Global Markets Inc. act as representatives of the underwriters. The underwriters hold a 30-day option to buy up to 1,155,000 additional ADSs. If the option is exercised in full, the offering would total $259,894,250 before discounts, and the company expects net proceeds of about $243.5 million. Without the option, net proceeds are expected to be about $211.6 million. The offering was expected to close on June 23, 2026.
Ernst & Young LLP has been the independent registered public accounting firm since the audit for 2022. The underwriting section does not name underwriters' counsel. It says only that the underwriters' obligations depend on approval of certain legal matters by their counsel.
Use of proceeds, dilution and lock-up
The company says the principal purposes of the offering are to obtain additional capital to support operations and to facilitate future access to public capital markets. It intends to use the net proceeds, together with existing cash and cash equivalents, to fund development of its pipeline programs, including LB2501, and for working capital and other general corporate purposes.
The prospectus warns of immediate dilution. Based on the offering price, purchasers face dilution of $23.26 per ADS, measured against as-adjusted net tangible book value per ADS as of March 31, 2026. The company had 371,479,583 ordinary shares outstanding at that date, along with options for 3,311,676 ordinary shares at a weighted average exercise price of $4.03 and 13,202,935 ordinary shares issuable on restricted share units.
The company and its officers, directors and one shareholder agreed not to sell, transfer or dispose of ADSs or ordinary shares for 60 days after the prospectus supplement, subject to exceptions.
The business and the cash position
Legend describes itself as the largest standalone cell therapy company, with over 3,000 employees. Its first product, CARVYKTI, was initially approved by the FDA on February 28, 2022, for relapsed or refractory multiple myeloma. The company shares profits on CARVYKTI equally with Janssen outside the People's Republic of China, and its annual report on Form 20-F says it has no other approved products.
The annual report gives cash and cash equivalents of $901.9 million and time deposits of $46.7 million at December 31, 2025, and says cash, deposits and investments together were about $948.6 million. It also reports accumulated losses of $1,958.5 million at that date.
Cash used in operating activities was $100.2 million in 2025, against $144.0 million in 2024. The 2025 cash increase of $615.2 million came mainly from investing activities, which provided $709.6 million. Financing activities used $0.3 million.
The loss before tax for 2025 was $282.6 million, against $158.1 million for 2024, even as cash used in operations fell. Genscript is the largest shareholder, and three of the eleven board members are Genscript employees. The prospectus says Genscript will beneficially own approximately 45.1% of the voting power after this offering, and could significantly influence director elections and other shareholder votes.