Waltham, Massachusetts-based Viridian Therapeutics, Inc. (Nasdaq: VRDN) announced concurrent upsized public offerings totaling USD 350 million in aggregate gross proceeds, comprising USD 225 million in 1.75% convertible senior notes due 2032 and a USD 125 million common stock offering, to retire existing Hercules Capital debt and fund commercial expansion of its thyroid eye disease (TED) franchise ahead of anticipated product launches for veligrotug and elegrobart.
The convertible notes carry a 1.75% coupon payable semi-annually on May 15 and November 15 each year, beginning November 15, 2026, and mature on May 15, 2032. The initial conversion rate is 40.5680 shares per USD 1,000 principal amount, equivalent to a conversion price of approximately USD 24.65 per share, representing a 45% premium to the equity offering price. Viridian may redeem the notes on or after May 20, 2030, provided its common stock trades above 130% of the conversion price for at least 20 of 30 consecutive trading days. The equity tranche was priced at USD 17.00 per share across 7,352,942 shares. Underwriters hold a 30-day option to purchase up to USD 25 million in additional notes and up to 1,102,941 additional shares. Estimated net proceeds across both offerings total approximately USD 334.7 million after underwriting discounts and expenses. Jefferies, Leerink Partners, and Goldman Sachs & Co. LLC acted as joint book-running managers for both offerings; LifeSci Capital served as lead manager on both tranches, with Wedbush PacGrow added as lead manager on the equity offering. Both offerings were expected to close on May 11, 2026, subject to customary closing conditions.
Company overview and pipeline
Viridian is a Waltham, Massachusetts-based biotechnology company focused on autoimmune and rare diseases, with its clinical portfolio concentrated in TED. The company's lead asset, veligrotug, is a full antagonist monoclonal antibody targeting the insulin-like growth factor-1 receptor (IGF-1R). Its two global Phase III pivotal trials, THRIVE and THRIVE-2, both reported positive topline data meeting primary and secondary endpoints in active and chronic TED, respectively, positioning veligrotug for regulatory submission. A portion of the offering proceeds is directed toward TED market expansion studies supporting the veligrotug commercial program.
Elegrobart (VRDN-003), Viridian's second IGF-1R candidate, is designed as a subcutaneous autoinjector for TED. Its two ongoing global Phase III trials, REVEAL-1 and REVEAL-2, also reported positive topline data meeting primary and multiple secondary endpoints. The company additionally maintains an anti-thyroid-stimulating hormone receptor (TSHR) program targeting TED and Graves' disease, and an FcRn inhibitor portfolio including VRDN-006 and VRDN-008, which are in earlier-stage development across multiple autoimmune indications.