Apogee pulls back on $300 mln stock sale plans following eczema drug data

Jefferies Financial

24/03/2026 17:26

** Apogee Therapeutics APGE.O shares down 9.3% at $71.84 on Tues as it looks to raise equity after encouraging eczema drug data

** APGE shares ended up 20% at $79.24 on Mon after the drug, zumilokibart, showed lasting benefit in people with moderate-to-severe atopic dermatitis

** Co said 75% of patients given the drug every three months and 85% every six months maintained an at least 75% improvement in disease severity at 52 weeks, in mid-stage trial

** After the bell Mon, Waltham, Massachusetts-based APGE commenced $300 mln stock offering to fund preclinical studies, clinical trials, manufacturing, and commercial readiness activities, among other purposes

** Jefferies, TD Cowen, Stifel and Guggenheim joint bookrunners

** BTIG on Mon reiterated 'buy', saying 52-week data show zumilokibart with best-in-category efficacy on several endpoints that even eclipse Abbvie's ABBV.N Rinvoq, the leading JAK inhibitor

** Reacting to the news, Guggenheim hiked its PT by $30 to Street-high $160, per LSEG; Citigroup upped its PT by $30 to $125 and Deutsche Bank raised PT by $10 to $118

** Avg rating among 17 brokerages is "buy" and median PT of $118 up from $97.50 a month ago

** With move on Tues, stock up about 75% over the past year and off 15% from record intraday high of $84.56 from Jan 14

** Co has ~69.5 mln shares outstanding for about $5 bln current market cap

(Lance Tupper is a Reuters market analyst. The views expressed are his own)

((lance.tupper@tr.com 1-646-279-6380))