leadf
logo-loader
viewAdvaxis

Advaxis tumbles after pricing secondary offering at a discount

The biotech is offering 2.5 million shares of its stock at price of $4 per share, which is substantially below Tuesday’s closing price of $5.90

stock moving higher
The biotech hopes to use the proceeds from its latest offering to fund its pipeline of anti-cancer therapies

Shares of Advaxis Inc (NASDAQ:ADXS) tumbled Wednesday after the biotech priced a secondary offering to fund its research and raise up to $10 million at a sharp discount.

The Princeton, New Jersey company is offering 2.5 million shares of its stock at a price of $4 per share, which is substantially below Tuesday’s closing price of $5.90.

Advaxis’s stock price has been artificially boosted in recent days by a 1-for-15 reverse stock split which took effect late last month.

READ: Advaxis rockets after promising data from key prostate cancer study unveiled

Investors failed to applaud the offering’s terms, sending Advaxis shares down 30% to $4.10 in morning trade.

The biotech hopes to use net proceeds from its latest offering to fund its ADX-HOT neoantigen-directed program for new cancer types as well as invest in ADX-PSA, its treatment for prostate cancer, and ADXS-NEO which takes aim at multiple cancers.

Advaxis won applause earlier in the week from investors after unveiling promising data from a Phase 1/2 Keynote-046 evaluating its cancer immunotherapy ADXS-PSA for the treatment of advanced prostate cancer.

The 50-patient study is evaluating ADX-PSA alone as a treatment for metastatic prostate cancer, and in combination with Keytruda, Merck's blockbuster anti-PD-1 cancer therapy.

The data for 37 patients taking part in the study showed a median overall survival rate of 21.1 months, which compares favorably to traditional therapies.

News of the promise of clinical findings for ADXS-PSA comes on the heels of preliminary data from a Phase 1 trial of ADX-NEO, another of the company’s cancer immunotherapies, showing “substantial” anti-tumor activity.

Data from both studies were presented at the American Association for Cancer Research’s annual meeting taking place this week in Atlanta, Georgia.

Contact Ellen Kelleher at ellen@proactiveinvestors.com

Quick facts: Advaxis

Price: 0.4336 USD

NASDAQ:ADXS
Market: NASDAQ
Market Cap: $28.72 m
Follow

Add related topics to MyProactive

Create your account: sign up and get ahead on news and events

NO INVESTMENT ADVICE

The Company is a publisher. You understand and agree that no content published on the Site constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is...

FOR OUR FULL DISCLAIMER CLICK HERE

Davide Bosio previews hotly anticipated IPOs for Miramar Resources and Zebit

Davide Bosio from Shaw and Partners says it's been a terrific start to the listing process for Miramar Resources, a junior West Australia exploration company. ''We opened up the offer and closed literally on the same day raising $8mln''. Bosio adds that Zebit is still on track to list on the ASX...

22 hours, 38 minutes ago

2 min read