Edesa Biotech drops on $25 mln stock-and-warrants offering
BUZZ-Edesa Biotech drops on $25 mln stock-and-warrants offering ** Shares of Edesa Biotech EDSA.O down 13.7% at $4.96 premarket after overnight $25 mln follow-on priced
** Canadian clinical-stage biopharma late Weds announced ~3.9 mln shares and pre-funded warrants to buy 675,000 shares, and accompanying warrants
** Combined offering price of $5.50 is 4.3% discount to stock's last close of $5.75
** EDSA intends to use net offering proceeds for general purposes, including working capital, capex, and R&D and manufacturing expenses
** Co, which focuses on treatments for medical dermatology and respiratory diseases, has ~9.6 mln shares outstanding
** Guggenheim Secs sole bookrunner for offering
** Through Weds, stock has roughly quadrupled YTD
(Lance Tupper is a Reuters market analyst. The views expressed are his own)
((lance.tupper@tr.com 1-646-279-6380))