Cerevel Therapeutics slides on stock, convertible debt deals

Cerevel Therapeutics Holdings

11/08/2022 14:15

** Shares of Cerevel Therapeutics Holdings Inc  CERE.O  down
17.3% at $34.25 premarket as co seeks capital raise
    ** Stock set to snap 5-day winning streak, racking up 47%
gain along the way
    ** Co after the bell Weds launched concurrent $250 mln
equity, $250 mln 5-yr convertible bond deals  urn:newsml:reuters.com:*:nGNX1tpPnh
    ** Morgan Stanley, Goldman Sachs, Jefferies and Evercore
acting as jt bookrunners
    ** Co plans to use net proceeds from both offerings to
support continued development of its schizophrenia treatment,
emraclidine, to evaluate potential of emraclidine in other
populations, including Alzheimer’s disease psychosis, among
other uses
    ** Co has two Phase II trials in process for emraclidine
with data for both trials expected in H1 2014, and plans launch
of Phase I trial for drug by year-end for Alzheimer’s
    ** CERE has ~148.5 mln shares outstanding for ~$6 bln market
cap, per Refinitiv, and ~54.6 mln of public float
    ** YTD, stock up 28% through Weds close

 (Lance Tupper is a Reuters market analyst. The views expressed
are his own)
 ((lance.tupper@thomsonreuters.com
lance.tupper@tr.com 1-332-219-1430))