Spruce Biosciences completed a registered offering of 1.15 million new shares at $50.00 each, raising approximately $57.5 million in gross proceeds. The company filed to sell the shares to institutional investors, increasing its total outstanding share count and introducing dilution for existing holders.

Following the pricing of the new share sale, Spruce Biosciences’ stock declined by 26.05%, reflecting investor concern over immediate dilution. The abrupt drop marks one of the largest single-day percentage decreases in the company’s trading history.

Spruce Biosciences focuses on therapies for rare endocrine disorders, with its lead candidate currently in Phase 2 trials. The newly raised funds are earmarked to support ongoing clinical development and potential regulatory submissions.