--- title: "Lexeo Therapeutics agrees to $80 million private placement of stock and warrants" url: "https://aibio.space/news/lexeo-therapeutics-agrees-80-million-private-placement-stock-warrants/" publisher: "aibio.space (Biotech Investor Relations News)" date: "2025-05-27" section: "Financings" tickers: "NASDAQ:LXEO" source: "https://www.sec.gov/Archives/edgar/data/1907108/000095017025077377/lxeo-20250527.htm" summary: "Lexeo Therapeutics agreed to a private placement of 20,790,120 shares and pre-funded warrants for 6,963,556 more, with common warrants attached, for gross" --- By the aibio.space news desk. Sources - [Lexeo Therapeutics, Inc. Form 8-K filed May 27, 2025 (SEC EDGAR)](https://www.sec.gov/Archives/edgar/data/1907108/000095017025077377/lxeo-20250527.htm) - [Lexeo Therapeutics, Inc. exhibit lxeo-ex99_1.htm to the May 27, 2025 Form 8-K (SEC EDGAR)](https://www.sec.gov/Archives/edgar/data/1907108/000095017025077377/lxeo-ex99_1.htm) - [Lexeo Therapeutics, Inc. exhibit lxeo-ex10_1.htm to the May 27, 2025 Form 8-K (SEC EDGAR)](https://www.sec.gov/Archives/edgar/data/1907108/000095017025077377/lxeo-ex10_1.htm) - [Lexeo Therapeutics, Inc. Form 10-K filed March 24, 2025: business overview and signatures (SEC EDGAR)](https://www.sec.gov/Archives/edgar/data/1907108/000095017025043486/lxeo-20241231.htm) [LXEO](https://aibio.space/companies/lexeo-therapeutics/) 2025-05-27 # Lexeo Therapeutics agrees to $80 million private placement of stock and warrants Tickers [LXEO](https://aibio.space/companies/lexeo-therapeutics/) Lexeo Therapeutics agreed to a private placement of 20,790,120 shares and pre-funded warrants for 6,963,556 more, with common warrants attached, for gross proceeds the company expects to be about $80 million. Part of that figure depends on warrants that have not been exercised, and the runway it cites depends on a 2027 readout. ## Key facts - **Company**: Lexeo Therapeutics, Inc. (NASDAQ: LXEO) - **News type**: Financings - **Primary source**: [Lexeo Therapeutics, Inc. Form 8-K filed May 27, 2025 (SEC EDGAR)](https://www.sec.gov/Archives/edgar/data/1907108/000095017025077377/lxeo-20250527.htm) *An empty boardroom with a long table. CC0, via rawpixel. The picture shows the field, not the companies named.* Lexeo Therapeutics, Inc. (Nasdaq: [LXEO](https://aibio.space/companies/lexeo-therapeutics/)) agreed on May 27, 2025 to sell common stock and pre-funded warrants in a private placement. The company expects aggregate gross proceeds of about $80 million, before commissions and offering expenses. The closing is expected on May 28, 2025, subject to customary conditions. The company disclosed the deal in a [Form 8-K](https://www.sec.gov/Archives/edgar/data/1907108/000095017025077377/lxeo-20250527.htm) under Items 1.01 and 3.02. ## What investors buy Under the purchase agreement, Lexeo will sell 20,790,120 shares of common stock. Some purchasers will take pre-funded warrants for 6,963,556 shares instead. Each share, or pre-funded warrant, comes with a common warrant for one-half of a share. The price is $2.8825 for each share and common warrant, and $2.8824 for each pre-funded warrant and common warrant. Each common warrant has an exercise price of $2.82 per share, can be exercised immediately and expires May 28, 2029. Each pre-funded warrant has an exercise price of $0.0001 per share. A purchaser may not exercise a warrant if that would leave it owning more than 9.99% of the outstanding common stock. The holder can change that level to any other figure not above 19.99%. ## The $80 million figure The 8-K says the aggregate gross proceeds of about $80 million include all the proceeds the company may receive when the pre-funded and common warrants are exercised. Some of that money therefore depends on future exercises, not on the closing. The 8-K does not separate the cash due at closing from the cash due later. The company says the net proceeds will go to working capital and general corporate purposes. The press release says they will fund ongoing clinical-stage programs. ## Placement agents and investors J.P. Morgan LLC and Oppenheimer & Co. Inc. acted as co-lead placement agents. Robert W. Baird & Co. also acted as a placement agent. The purchase agreement lists J.P. Morgan Securities LLC, Oppenheimer & Co. Inc., Leerink Partners LLC, Stifel, Nicolaus & Company, Incorporated, Guggenheim Securities, LLC and Robert W. Baird & Co. Incorporated as engaged placement agents. The press release says Frazier Life Sciences and Janus Henderson Investors led the financing. It names Adar1 Capital Management, Affinity Healthcare Fund, LP, Ally Bridge Group, Coastlands Capital, Surveyor Capital, a Citadel company, Vestal Point Capital and Woodline Partners LP among the other investors. ## Runway and what it depends on The press release headline says the cash runway extends into 2028, and that the proceeds will fund operations through a potential 2027 efficacy readout for LX2006 in Friedreich ataxia cardiomyopathy. The runway claim therefore depends on a readout the release itself calls potential. The release does not give the cash balance before the deal, so the cushion cannot be measured from it. ## Registration and resale Lexeo and the purchasers signed a registration rights agreement dated May 27, 2025. The company must file a resale registration statement by June 27, 2025 and use its best efforts to have it effective within 60 days after closing, or 90 days if the SEC reviews it fully. It must stay effective for up to five years. The press release says the placement was structured to meet Nasdaq's minimum price requirement. ## The company and its early data Lexeo describes itself as a clinical-stage genetic medicine company dedicated to cardiovascular diseases, based in New York. Its lead candidate, LX2006 for Friedreich ataxia cardiomyopathy, is in the Phase 1/2 SUNRISE-FA trial and a Cornell investigator-initiated trial. The 2024 annual report says a July 2024 interim update covered 11 treated participants, with data from 8 who had reached at least 6 months of follow-up. It also reports that one participant had Grade 2 asymptomatic myocarditis one year after dosing. LX2020, for PKP2 arrhythmogenic cardiomyopathy, is in a Phase 1/2 trial with six participants enrolled. Two post-treatment biopsies showed PKP2 protein increases of 71% and 115%, according to the report. These are small, early, company-reported results. ## What is not disclosed The 8-K and press release do not state Lexeo's cash balance or net loss before the financing. Without those figures, the warrant overhang and the 2028 runway cannot be set against current spending. [Report an error](https://aibio.space/reputation/#correction) ## Companies in this story LXEO Lexeo Therapeutics, Inc. NASDAQ ยท United States Open the starter desk ## More in Financings Financings ### [INmune Bio raises $4.50 million in registered direct offering with warrants](https://aibio.space/news/inmune-bio-raises-4-50-million-registered-direct-offering-warrants/) Oct 29, 2026 Financings ### [Lexeo Therapeutics files $300 million shelf registration](https://aibio.space/news/lexeo-therapeutics-files-300-million-shelf-registration/) Oct 29, 2026 Financings ### [ProKidney files $650 million shelf with $200 million Jefferies sales program](https://aibio.space/news/prokidney-files-650-million-shelf-200-million-jefferies-sales-program/) Oct 29, 2026 --- Source page: https://aibio.space/news/lexeo-therapeutics-agrees-80-million-private-placement-stock-warrants/. Facts in aibio.space stories are checked against company filings and releases; opinion is labelled. Cite as: aibio.space, "Lexeo Therapeutics agrees to $80 million private placement of stock and warrants", 2025-05-27, https://aibio.space/news/lexeo-therapeutics-agrees-80-million-private-placement-stock-warrants/