Cognition Therapeutics slides after announcement of $30 million direct stock deal

Cognition Therapeutics

28/08/2025 19:58

** Shares of drug developer Cognition Therapeutics CGTX.O plunge 16.8% to $2.55

** Late Wednesday, CGTX announced registered direct sale of 14.7 million shares for gross proceeds of $30 million

** Implied offer price of $2.04 apiece represents 33.3% discount to stock's last close

** Offering made to two new institutional investors, including an investment manager

** Proceeds will be used to fund preparation for late-stage programs of company's experimental drug, zervimesine, for neurodegenerative disorders and other purposes

** Titan Partners Group, a division of American Capital Partners, was sole placement agent for the offering

** All four brokerages covering the stock rate it "buy"; with a median PT $3.50, according to data compiled by LSEG

** As of last close, CGTX shares up 336.3% YTD

(Reporting by Arasu Kannagi Basil in Bengaluru)

((ArasuKannagi.Basil@thomsonreuters.com))