Cabaletta Bio Announces Pricing of Public Offering of Common Stock

PHILADELPHIA, May 17, 2023 (GLOBE NEWSWIRE) -- Cabaletta Bio, Inc. (“Cabaletta” or the “Company”) (Nasdaq: CABA), a clinical-stage biotechnology company focused on developing and launching the first curative targeted cell therapies for patients with autoimmune diseases, today announced the pricing of an underwritten public offering of 7,250,000 shares of its common stock at a public offering price of $12.00 per share. Cabaletta also granted the underwriters a 30-day option to purchase up to an additional 1,087,500 shares of common stock at the public offering price, less underwriting discounts and commissions. The gross proceeds from the offering, before deducting underwriting discounts and commissions and offering expenses, are expected to be $87 million, excluding any exercise of the underwriters' option to purchase additional shares. All of the shares in the offering are to be sold by Cabaletta. The offering is expected to close on May 22, 2023, subject to customary closing conditions.

TD Cowen, Evercore ISI and Guggenheim Securities are acting as joint book-running managers for the offering and H.C. Wainwright & Co. is acting as lead manager for the offering.

Cabaletta intends to use the net proceeds from the offering, together with existing cash and cash equivalents, primarily to fund the expanded clinical development of CABA-201 in multiple indications, to advance manufacturing capabilities in preparation for late-stage clinical trials and commercial readiness for CABA-201, and the ongoing development for its CAART programs, as well as for working capital and general corporate purposes.

The shares of common stock are being offered by Cabaletta pursuant a registration statement on Form S-3 that was previously filed with, and subsequently declared effective on April 26, 2023 by, the Securities and Exchange Commission (“SEC”).  A preliminary prospectus supplement relating to and describing the terms of the offering will be filed with the SEC on May 18, 2023. The final prospectus supplement relating to the offering will be filed with the SEC and will be available on the SEC’s website at www.sec.gov. Copies of the prospectus supplement and accompanying prospectus relating to this offering, when available, may be obtained from Cowen and Company, LLC, 599 Lexington Avenue, New York, NY 10022, by email at [e-mail] or by telephone at [phone], Evercore Group L.L.C., Attention: Equity Capital Markets, 55 East 52^nd Street, 35^th Floor, New York, New York 10055; by telephone at [phone], or by email at [e-mail] or Guggenheim Securities, LLC Attention: Equity Syndicate Department, 330 Madison Avenue, New York, NY 10017 by telephone at [phone], or by email at [e-mail].