Crescent Biopharma slips on $125 mln share offering
CBIO•Shares fall after overnight follow-on pricing
- Oncology biotech Crescent Biopharma's CBIO.O shares were down 2.4% in premarket trading to $14.94 after a $125 million overnight follow-on was priced.
- The Waltham, Massachusetts-based company late Tuesday announced the pricing of about 8.6 million shares, including pre-funded warrants, at $14.50.
- The offering price represents a 5.3% discount to the stock's last close.
- Late Tuesday, CBIO estimated it had cash and equivalents of approximately $171.6 million at the end of June, according to an SEC filing.
- The company, which has about 27.6 million shares outstanding, intends to use net offering proceeds to fund clinical development of CR-001, CR-002 and CR-003, continued R&D for preclinical programs, among other purposes, according to the prospectus.
- Jefferies, TD Cowen, Guggenheim and Cantor Fitzgerald were joint bookrunners.
- Through Tuesday, the stock was up 29% year to date.
- Eight of nine analysts rate the stock "strong buy" or "buy" and one rates it "hold"; the median price target is $32.50, according to LSEG.
