Cytokinetics raises $75M follow-on

Cytokinetics Inc. (NASDAQ:CYTK) raised $75 million through the sale of 5.3 million shares at $14.25 in a follow-on underwritten by Morgan Stanley. The price is a 9% discount to the company’s close of $15.65 on Monday, before Cytokinetics proposed the offering after market hours.

In February, Cytokinetics received $100 million in a deal with Royalty Pharma (New York, N.Y.) for royalties tied to future sales of chronic heart failure (CHF) candidate omecamtiv mecarbil (AMG 423). The small molecule activator of cardiac myosin is in a Phase III cardiovascular outcomes trial. The deal includes a $10 million equity investment. Cytokinetics also exercised an option giving it additional rights and royalties under a separate, existing deal with partner Amgen Inc. (NASDAQ:AMGN) (see BioCentury Extra, Feb. 2)...