Latham & Watkins Advises Terns Pharmaceuticals in Pricing of US$75 Million Public Offering

Terns Pharmaceuticals, Inc. (Nasdaq: TERN), a clinical-stage biopharmaceutical company developing a portfolio of small-molecule product candidates to address serious diseases, including oncology, obesity, and non-alcoholic steatohepatitis, has announced the pricing of its underwritten public offering of 10,350,000 shares of its common stock at a public offering price of US$7.25 per share, before underwriting discounts and commissions. The gross proceeds from the offering, before deducting underwriting discounts and commissions and other offering expenses payable by Terns, are expected to be approximately US$75 million, excluding any exercise of the underwriters’ option to purchase additional shares. In addition, Terns has granted the underwriters a 30-day option to purchase up to an additional 1,552,500 shares of common stock at the public offering price, less underwriting discounts and commissions.

The offering is expected to close on December 23, 2022, subject to customary closing conditions. All of the securities are being offered by Terns.

Latham & Watkins LLP represents Terns Pharmaceuticals in the offering with a capital markets deal team led by Brian Cuneo and Erica Kassman; with Josh Landis and AJ Blair. Additional advice was provided on tax matters by Katharine Moir, with Greg Conyers.