Targacept, Inc. (NASDAQ: TRGT) announced today the pricing of an underwritten public offering of 3,658,537 shares of its common stock at a price to the public of $20.50 per share. The net proceeds to Targacept from the sale of the shares, after deducting underwriting discounts and commissions and estimated offering expenses, are expected to be approximately $70.2 million. The offering is expected to close on May 25, 2011, subject to customary closing conditions.
Targacept has granted the underwriters for the offering an option for a period of 30 days to purchase up to an additional 548,780 shares of common stock to cover over-allotments, if any. The expected net proceeds to Targacept referenced above do not include any net proceeds that Targacept would receive if the underwriters exercise such over-allotment option.
Deutsche Bank Securities Inc. is acting as sole book-running manager for the offering. Lazard Capital Markets LLC, Leerink Swann LLC, Oppenheimer & Co. Inc., Needham & Company, LLC, Ladenburg Thalmann & Co. Inc. and Global Hunter Securities LLC are acting as co-managers for the offering.