Table of Contents
USE OF PROCEEDS
We estimate that the net proceeds from our issuance and sale of shares of our common stock in
this offering will be
approximately $ million (or $ million if the underwriters exercise in full their
option to purchase additional shares), assuming an initial public offering
price of $ per share, which is the midpoint of the price range set forth on the cover page of this prospectus, and after deducting the estimated underwriting discounts and
and estimated offering expenses payable by us.
$1.00 increase (decrease) in the assumed initial public offering price of $ per share would increase (decrease) the net proceeds to us from this offering by
approximately $ million, assuming the number of shares offered by us, as set forth on the cover page of this prospectus, remains the same and after deducting the
underwriting discounts and commissions and estimated offering expenses payable by us. Each increase (decrease) of 1.0 million in the number of shares we are offering would increase (decrease)
the net proceeds to us from this offering, after deducting the estimated underwriting discounts and commissions and estimated offering expenses payable by us, by approximately
$ million, assuming the assumed initial public offering price stays the same.
of September 30, 2015, we had cash and cash equivalents of $69.7 million. We intend to use the net proceeds from this offering, together with our existing cash and cash
equivalents, as follows:
- Approximately $ million to
$ million to fund our ongoing Phase 1 clinical trial and
future SMA trials for AVXS-101;
- Approximately $ million to
$ million to fund our manufacturing activities, including the
establishment of our own manufacturing facility, to support our ongoing and future trials for AVXS-101; and
- the balance for other general corporate purposes, including general and administrative expenses and working capital.
expected use of net proceeds from this offering represents our current intentions based upon our present plans and business condition. As of the date of this prospectus, we cannot
predict with complete certainty all of the particular uses for the net proceeds to be received upon the completion of this offering or the actual amounts that we will spend on the uses set forth
above. We believe opportunities may exist from time to time to expand our current business through the acquisition or in-license of complementary product candidates. While we have no current
agreements for any specific acquisitions or in-licenses at this time, we may use a portion of the net proceeds for these purposes.
amounts and timing of our actual expenditures will depend on numerous factors, including the progress of our clinical trials and other development and commercialization efforts for
AVXS-101, as well as the amount of cash used in our operations. We therefore cannot estimate with certainty the amount of net proceeds to be used for the purposes described above. We may find it
necessary or advisable to use the net proceeds for other purposes, and we will have broad discretion in the application of the net proceeds. Pending the uses described above, we plan to invest the net
proceeds from this offering in short- and intermediate-term, interest-bearing obligations, investment-grade instruments, certificates of deposit or direct or guaranteed obligations of the U.S.