TRANSTHERA-B's stock plummeted 5.22% in pre-market trading on Tuesday, following the company's announcement of a private placement of shares at a significant discount to the previous closing price.
The biopharmaceutical company revealed plans to place approximately 3.836 million new H shares at HK$40.83 per share, representing an 18.01% discount to Monday's closing price of HK$49.80. The placement is expected to raise gross proceeds of approximately HK$157 million, with net proceeds estimated at around HK$152 million after deducting commissions and expenses.
Approximately 90% of the net proceeds from the placement are earmarked for developing new indications for the company's core product, Tinengotinib, with the remaining 10% allocated for working capital and general corporate purposes. The placement shares represent approximately 0.95% of the company's existing issued shares and are expected to be issued subject to listing approval.
Comments