BUZZ-Biopharma co Veru tumbles on planned stock-and-warrants offering
Shares of biopharmaceutical company Verufell 20% to $2.79 in post-market trading following its announcement of a stock and warrants offering. The deal size remains undisclosed, and the proceeds will fund the development of enobosarm, aimed at combating muscle loss in overweight or obese patients. Veru has approximately 14.6 million shares outstanding and a market cap of about $50 million. The stock has seen a year-to-date loss of 46%.
Shares of biopharmaceutical firm Veru (VERU.O) down 20% at $2.79 post-market as it seeks equity raise
Miami, Florida-based co focused on treating cardiometabolic and inflammatory diseases offering of stock and warrants; deal size not disclosed
Co plans to use net offering proceeds to fund development of enobosarm, with a primary focus on Phase 2b PLATEAU clinical study activities VERU’s drug, enobosarm, being developed to counter muscle loss in overweight or obese patients using GLP-1 receptor agonists, such as semaglutide (Wegovy)
Canaccord Genuity and Oppenheimer are joint bookrunners for offering Co has ~14.6 mln shares outstanding for about $50 mln market cap; in Aug, it effected a 1-for-10 reverse stock split to regain Nasdaq compliance
Stock closed down 4.1% at $3.50 on Weds, extending YTD loss to 46% (Lance Tupper is a Reuters market analyst. The views expressed are his own)
