Phathom Pharmaceuticals prices stock and pre-funded warrant offering at $16.00 a share

Phathom Pharmaceuticals, Inc. (Nasdaq: PHAT) priced an underwritten public offering of 6,875,000 common shares at $16.00 each, with pre-funded warrants for 1,250,078 shares offered in place of common stock to some investors. The company first announced the proposed offering on January 7, 2026 in a press release, and the terms are in the prospectus supplement. The total public offering price is $129,999,998.

Guggenheim Securities, LLC and Cantor Fitzgerald & Co. are the representatives of the underwriters and joint book-running managers. Raymond James & Associates, Inc., Needham & Company, LLC, H.C. Wainwright & Co., LLC and Craig-Hallum Capital Group LLC are co-managers. Guggenheim is allocated 3,162,500 shares and Cantor 2,475,000. Latham & Watkins LLP, San Diego, is Phathom's counsel on the validity of the securities, and Cooley LLP, San Diego, represents the underwriters. Phathom says the shares are offered under a shelf registration that took effect automatically when filed on January 7, 2026.

Terms and pricing

The underwriters receive $0.96 per share, or $7,800,075 in total, which leaves proceeds before expenses of $122,199,923. The pre-funded warrants are priced at the share price minus $0.001, their exercise price. The underwriters have a 30-day option to buy 1,218,761 more shares. Delivery was expected on or about January 9, 2026.

The offer price was slightly below the last reported sale on the Nasdaq Global Select Market, which was $16.37 on January 6, 2026. The company says the offering depends on market conditions. Phathom intends to use the net proceeds for general corporate purposes, including working capital and commercialization and research and development expenses.

Cash before the offering

Phathom's preliminary figures for 2025 are unaudited. It expects net revenues of approximately $174.5 million to $175.5 million for the full year, and it says its review of the financial statements for the period had not been completed. Net revenues for the fourth quarter alone were expected to be approximately $57 million to $58 million.

GAAP operating expenses for 2025 were expected at approximately $315.5 million to $317.5 million, and non-GAAP operating expenses at approximately $284.5 million to $286.5 million, which excludes about $31 million of stock-based compensation. Net cash usage for the fourth quarter was expected to be about $6 million. Cash and cash equivalents were expected to be about $130 million as of December 31, 2025.

The 2024 figures tell a different story. The company reported revenue of $55.3 million, a net loss of $334.3 million and cash used in operations of $266.8 million for that year, and year-end 2024 cash and cash equivalents of $297.3 million. The move from $297.3 million to a preliminary $130 million over one year is the backdrop to the raise.

What the company sells and what it promises

Phathom's approved products are VOQUEZNA, VOQUEZNA TRIPLE PAK and VOQUEZNA DUAL PAK, which contain vonoprazan, an oral potassium-competitive acid blocker. The company says it surpassed one million prescriptions dispensed for VOQUEZNA products in the United States in the fourth quarter of 2025. It describes vonoprazan as the first gastric anti-secretory agent from a novel class approved in the United States, Europe or Canada in more than 30 years, and it cites benefits in erosive gastroesophageal reflux disease and in combination with antibiotics for Helicobacter pylori.

Those are the company's own claims, and the offering documents do not give the trial designs or sample sizes behind the comparisons. The company describes itself as focused on gastrointestinal diseases, and its only approved products are the VOQUEZNA family.

The company says it expects to reach operating profitability in the second half of 2026, excluding stock-based compensation. That is a plan, not a result, and it depends on the spending levels that the preliminary figures show. The offering documents also state that the 2025 figures were not yet audited, so the profit timetable rests on numbers the company itself had not finished closing.

The offering documents give the company's own description of its products and no independent view of how the market will respond. They also state that the company has not completed its year-end close and review for 2025, so the figures above could change.

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