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Larimar Therapeutics raises USD 100m in upsized underwritten public offering

U.S.-based Larimar Therapeutics, Inc. (Nasdaq: LRMR) announced the pricing of an upsized underwritten public offering of common stock with aggregate gross...

Larimar Therapeutics Offering: USD 100 Million Upsized Underwritten Public Offering Priced at USD 5.00 Per Share

Larimar Therapeutics LRMR Prices Equity Raise to Fund Nomlabofusp Development

U.S.-based Larimar Therapeutics, Inc. (Nasdaq: LRMR) announced the pricing of an upsized underwritten public offering of common stock with aggregate gross proceeds expected to total USD 100 million, before deducting underwriting discounts, commissions, and other offering expenses. The Larimar Therapeutics offering is expected to close on or about February 27, 2026, subject to customary closing conditions. The company stated it intends to use net proceeds from the Larimar Therapeutics public offering to support the development of its lead candidate nomlabofusp, as well as for working capital and general corporate purposes, including research and development expenses and commercialization expenses.

Deal Structure and Underwriting Syndicate Behind the LRMR Stock Offering

The Larimar Therapeutics $100 million offering consists of 20,000,000 shares of common stock priced at USD 5.00 per share to the public. Larimar has also granted the underwriters a 30-day option to purchase up to an additional 3,000,000 shares of common stock at the public offering price, less underwriting discounts and commissions. If the overallotment option is exercised in full, total gross proceeds would reach USD 115 million. All shares in the LRMR stock offering are being sold by the company; no selling stockholders are involved.

J.P. Morgan and Guggenheim Securities are acting as joint bookrunning managers for the offering. LifeSci Capital and William Blair are acting as bookrunners. Citizens Capital Markets is serving as lead manager, and Jones is acting as co-manager. The offering is being conducted pursuant to a shelf registration statement on Form S-3 (File No. 333-279275) that was declared effective by the SEC on May 24, 2024. The press release did not identify specific institutional investors purchasing shares, nor did it indicate participation by company insiders.

The Larimar Therapeutics stock price context is relevant when evaluating this transaction alongside the company's recent financing history. Larimar completed a USD 64.4 million underwritten public offering in July 2025, with Leerink Partners LLC and Guggenheim Securities, LLC acting as underwriters. In December 2025, the company executed a private exchange agreement with Blue Owl Healthcare Opportunities IV Public Investments LP, in which Blue Owl exchanged 2,500,000 shares of common stock for 250,000 shares of newly designated Series A Convertible Preferred Stock at a conversion ratio of 10:1. That transaction did not raise new capital but restructured an existing investor's holdings into preferred equity.

Company Overview and Pipeline

Larimar Therapeutics, headquartered in Bala Cynwyd, Pennsylvania, is a clinical-stage biotechnology company focused on developing treatments for rare diseases. The company's operations center on its intracellular delivery platform, which is designed to create fusion proteins that target rare diseases characterized by deficiencies in intracellular bioactive compounds.

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Larimar's lead candidate, nomlabofusp (also known as CTI-1601), is being developed as a treatment for Friedreich's ataxia, a rare, progressive neurodegenerative disorder caused by deficiency of the protein frataxin. Nomlabofusp is a frataxin replacement therapy — a recombinant fusion protein engineered to deliver frataxin directly into cells to address the underlying protein deficiency that drives the disease. The molecule has completed Phase I single-ascending dose (NCT04176991) and multiple-ascending dose (NCT04519567) studies, as well as a Phase II randomized dose-exploration study in adults with Friedreich's ataxia (NCT05579691). Safety, pharmacokinetic, and pharmacodynamic data from these studies have been described in a peer-reviewed publication.

Nomlabofusp is currently in a Phase II open-label extension study (NCT06447025), which is enrolling by invitation and evaluating endpoints including change in modified Friedreich's Ataxia Rating Scale (mFARS) scores and tissue frataxin concentrations measured in buccal and skin samples. A separate pediatric and adolescent Phase I study (NCT06681766), which had focused on cardiac safety endpoints including ECG QTcF and echocardiography measures, has been terminated. The FDA granted Breakthrough Therapy Designation for nomlabofusp in Friedreich's ataxia on February 24, 2026, one day before the pricing of this offering. Public filings indicate the company is targeting a Biologics License Application submission in June 2026.

Larimar has stated its intention to use the intracellular delivery platform to design additional fusion proteins targeting other rare diseases characterized by intracellular bioactive compound deficiencies, though no additional clinical-stage candidates have been disclosed. The company's deal history has been concentrated on equity capital raises, and it has not announced licensing, collaboration, or acquisition transactions to date, consistent with the profile of a pre-revenue company advancing a single clinical asset toward a regulatory filing.


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