Celcuity rises after boosted $500 mln convertible bond offering
BUZZ-Celcuity rises after boosted $500 mln convertible bond offering ** Biotech firm Celcuity's CELC.O shares up 1.2% at $90 on Thurs after securing capital raise
** Minneapolis, Minnesota-based firm late Weds announced pricing public offering of $500 mln 0.25% convertible bonds due 2032
** Offering size increased from $400 mln; initial conversion price of $124.53 set 40% above stock's last close
** Co intends to use net offering proceeds from the CBs to fully repay loan with Oxford Finance, LLC, and remainder for working capital and general purposes
** Jefferies, JP Morgan, TD Cowen and Guggenheim joint bookrunners
** Raise comes after CELC shares plunged ~26% to close at $91.42 on Tues after its experimental breast cancer treatment underperformed a previous trial
** Gedatolisib, in combination with Pfizer's PFE.N Ibrance and AstraZeneca's AZN.L endocrine therapy Faslodex was tested in advanced breast cancer patients; the triple-drug combo extended progression-free survival (PFS) by 11.1 months compared to 5.6 months in patients who received Faslodex and Novartis' NOVN.S Piqray
** CELC shares now down ~10% YTD. Stock was trading around $12 a year ago
** Of 12 analysts, 5 rate the stock "strong buy", 7 rate "buy"; median PT $160, per LSEG data
(Lance Tupper is a Reuters market analyst. The views expressed are his own)
((lance.tupper@tr.com 1-646-279-6380))
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