Zentalis Pharma falls on $81 mln stock sale
ZNTL•Bookrunners and analyst context
TD Cowen, Guggenheim and Oppenheimer were joint bookrunners, with H.C. Wainwright as passive bookrunner.
Through Thursday, ZNTL shares had more than tripled year to date.
Half of the 10 analysts covering ZNTL rate the shares "strong buy" or "buy," while the rest rate them "hold," with a median price target of $6, according to LSEG data.
Shares fall after follow-on pricing
Shares of oncology drug developer Zentalis Pharmaceuticals (ZNTL.O) were down 12.3% at $3.64 in premarket trading on Friday after an overnight follow-on offering was priced.
ZNTL late Thursday sold 23 million shares at $3.50 for $80.5 million in gross proceeds.
Offering terms and planned use of proceeds
The offering price was a 15.7% discount to the stock's last sale.
The San Diego, California-based firm, which has about 71.7 million shares outstanding, intends to use net offering proceeds to fund clinical trials, preclinical studies and regulatory filings, among other purposes.
