K&L Gates acted as lead Australian lawyers in Mesoblast Limited’s A$170 million raising, one of the largest international private equity financings for a biotech company in recent years. The world’s largest regenerative medicine company, Mesoblast raised the funds through a targeted institutional private placement, with the issue structured to comply with U.S. SEC exemptions (144a and Regulation S) as well as applicable UK and local Asian security laws.
Mesoblast’s patented adult Mesenchymal Precursor Cell technology is being developed for an extensive range of major clinical diseases, including inflammatory and immunologic conditions of the joints and lungs, diabetes and kidney disease, orthopedic spine conditions, and cardiovascular disorders.
K&L Gates Melbourne corporate partner Andrew Gaffney led the Melbourne team that advised Mesoblast, assisted by corporate special counsel Neil Miller, corporate senior lawyer Malcolm Lum, and financial services lawyer Rania Seoud.
“This raising for Mesoblast was very strategic and targeted having regard to the importance of the composition of the company’s share register,” said Gaffney. “Within a 48-hour trading halt, the company was able to conclude a large private institutional raise from targeted investors in the UK, Asia, and the U.S.
“The success of the Mesoblast private placement in such a tight timetable involving global investors reflected Mesoblast’s profile and the ability to coordinate advisers in the different jurisdictions across multiple time zones. It also reflects the growing attraction of the Australian Stock Market and confidence in its regime by overseas investors.”
