Deerfield Amends Larimar Therapeutics Stake

TL;DR

**Deerfield Management just updated its stake in Larimar Therapeutics, signaling a potential shift in their investment.**

AI Summary

Deerfield Management Company, L.P. and its affiliated entities, including Deerfield Healthcare Innovations Fund, L.P., filed an Amendment No. 8 to their Schedule 13D on February 16, 2024, regarding their beneficial ownership in Larimar Therapeutics, Inc. This filing updates their holdings and reflects changes in their investment position in the pharmaceutical company, Larimar Therapeutics, Inc. (formerly Zafgen, Inc.).

Why It Matters

This filing indicates a significant institutional investor, Deerfield Management, is updating its position in Larimar Therapeutics, which could signal changes in their investment strategy or outlook for the company.

Risk Assessment

Risk Level: low — This is an amendment to a Schedule 13D, indicating a change in beneficial ownership by an existing large shareholder, which is a routine disclosure.

Key Players & Entities

• Deerfield Management Company, L.P. (company) — Filing Group Member
• Larimar Therapeutics, Inc. (company) — Subject Company
• Deerfield Healthcare Innovations Fund, L.P. (company) — Filing Group Member
• James E. Flynn (person) — Filer
• Zafgen, Inc. (company) — Former Company Name

FAQ

Key Financial Figures

• $0.01 — me of Issuer) Common Stock, par value $0.01 per share (Title of Class of Securitie
• $8.74 — es”), respectively, at a price of $8.74 per share, or aggregate purchase prices
• $12,500,000 — share, or aggregate purchase prices of $12,500,000.40, $12,500,000.40 and $12,499,991.17,
• $12,500,000.40 — gate purchase prices of $12,500,000.40, $12,500,000.40 and $12,499,991.17, respectively. Each
• $12,499,991 — s of $12,500,000.40, $12,500,000.40 and $12,499,991.17, respectively. Each Fund utilized av

Filing Documents

• e619283_sc13da-lt.htm (SC 13D/A) — 206KB
• 0001193805-24-000244.txt ( ) — 208KB

Source and Amount of Funds or Other Consideration

Item 3.Source and Amount of Funds or Other Consideration.

of the Schedule 13D is hereby amended

Item 3 of the Schedule 13D is hereby amended by adding the following: On February 16, 2024, Deerfield Private Design Fund III, Deerfield Private Design Fund IV and Deerfield Partners purchased 1,430,206, 1,430,206 and 1,430,205 shares of Common Stock (collectively, the “February 2024 Shares”), respectively, at a price of $8.74 per share, or aggregate purchase prices of $12,500,000.40, $12,500,000.40 and $12,499,991.17, respectively. Each Fund utilized available cash assets to acquire the February 2024 Shares.

Purpose of the Transaction

Item 4.Purpose of the Transaction.

of the Schedule 13D is hereby amended

Item 4 of the Schedule 13D is hereby amended by adding the following: Each Fund acquired its February 2024 Shares for investment purposes in an underwritten offering conducted by the Company (the “February 2024 Offering”) pursuant to the Prospectus Supplement, dated as of February 14, 2024, to the Issuer’s Prospectus, dated as of November 21, 2022 (the “February 2024 Offering”).

Interest in Securities of the Issuer

Item 5.Interest in Securities of the Issuer. Items 5(a), 5(b) and 5(c) of the Schedule 13D are hereby amended and restated in their entirety to read as follows: (a) (1) Deerfield Private Design Fund III Number of shares: 6,151,389 Percentage of shares: 10.07%* (2) Deerfield Healthcare Innovations Fund Number of shares: 4,721,197 Percentage of shares: 7.73%* (3) Deerfield Private Design Fund IV Number of shares: 6,151,406 Percentage of shares: 10.07%* (4) Deerfield Partners Number of shares: 4,207,982 Percentage of shares: 6.89%* (5) Deerfield Mgmt III Number of shares: 6,151,389 (comprised of shares held by Deerfield Private Design Fund III) Percentage of shares: 10.07%* (6) Deerfield Mgmt HIF Number of shares: 4,721,197 (comprised of shares held by Deerfield Healthcare Innovations Fund) Percentage of shares: 7.73%* (7) Deerfield Mgmt IV Number of shares: 6,151,406 (comprised of shares held by Deerfield Private Design Fund) Percentage of shares: 10.07%* (8) Deerfield Mgmt Number of shares: 4,207,982 (comprised of shares held by Deerfield Partners) Percentage of shares: 6.89%* (9) Deerfield Management Number of shares: 21,265,174 (comprised of shares held by Deerfield Private Design Fund III, Deerfield Private Design Fund IV, Deerfield Healthcare Innovations Fund, Deerfield Partners and shares underlying options held by Jonathan Leff at the direction and for the benefit of Deerfield Management) Percentage of shares: 34.82%* (10) James E. Flynn Number of shares: 21,265,174 (comprised of shares held by Deerfield Private Design Fund III, Deerfield Private Design Fund IV, Deerfield Healthcare Innovations Fund, Deerfield Partners and shares underlying options held by Jonathan Leff at the direction and for the benefit of Deerfield Management) Percentage of shares: 34.82%* *Throughout this report, the percentage of outstanding Common Stock beneficially owned by the Reporting Pers

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