Outlook Therapeutics drops on $55 mln stock-and-warrants offering
OTLK•Recent company context
- On July 24, the U.S. FDA approved the drug to treat wet age-related macular degeneration (AMD).
- At Wednesday's close, OTLK was down 30% year to date.
- The average rating of four analysts covering OTLK is "buy"; the median price target is $5, according to LSEG data.
Offering terms and use of proceeds
- The five-year warrants are exercisable immediately and have an exercise price of $1.10, matching the stock's last sale on Wednesday.
- Outlook Therapeutics, which has about 187 million shares outstanding, said it intends to use net offering proceeds to support commercialization of its eye-disease drug, Lytenava, in the U.S., and for working capital and other purposes.
- Piper Sandler and BTIG are joint bookrunners for the offering.
Shares fall after follow-on pricing
- Shares of Outlook Therapeutics
OTLK.Ofell about 23% to $0.85 premarket after the company priced a $55 million follow-on offering. - The New Jersey-based biopharma announced late Wednesday about 55.6 million shares and accompanying warrants at $0.99.
