SCHEDULE: Nantahala Capital Discloses 7.13% Stake in Verastem

Nantahala Capital Management, along with Wilmot B. Harkey and Daniel Mack, reported a 7.13% beneficial ownership stake in Verastem, Inc. common stock.

Summary

• Nantahala Capital Management, LLC, Wilmot B. Harkey, and Daniel Mack (the "Reporting Persons") collectively beneficially own 4,626,236 shares of Verastem, Inc. Common Stock.
• This ownership represents 7.13% of Verastem, Inc.'s outstanding common stock.
• The reported shares include 3,333,333 shares that the Reporting Persons may acquire within sixty days through the exercise of warrants.
• The Reporting Persons hold shared voting power and shared dispositive power over all 4,626,236 shares.
• Nantahala Capital Management, LLC is classified as an Investment Adviser (IA), while Wilmot B. Harkey and Daniel Mack are classified as Control Persons (HC).

Sentiment

Score: 5

Explanation: This is a factual disclosure of beneficial ownership and does not inherently convey positive or negative sentiment regarding the issuer's performance or prospects. The sentiment is neutral as it simply reports a significant stake.

Positives

• NA

Negatives

• NA

Risks

• NA

Future Outlook

NA

Management Comments

• The Reporting Persons certify that the securities were acquired and are held in the ordinary course of business.
• The securities were not acquired and are not held for the purpose of or with the effect of changing or influencing the control of Verastem, Inc., other than activities solely in connection with a nomination under Rule 14a-11.

Industry Context

NA

Stakeholder Impact

• Shareholders: Provides transparency regarding significant institutional ownership, which can influence market perception and liquidity.

Key Dates

Keywords

Verastem, Nantahala Capital Management, Beneficial Ownership, Schedule 13G, Common Stock, Investment Adviser, Biotechnology, Pharmaceuticals