Karuna Therapeutics rebounds after $400 mln equity raise

Karuna Therapeutics

22/03/2023 12:25

** Karuna Therapeutics Inc's  KRTX.O  shares up 4.7% at
$169.96 before the bell after follow-on prices
    ** Co late Tues sold ~2.5 mln shares at $161.33, raised $400
mln to fund its schizophrenia drug, KarXT
    ** Offering price matches stock's last close. KRTX shares
fell 11.6% on Tues
    ** Shares fell 4.8% on Mon after co said KarXT significantly
reduced symptoms in a late-stage trial, but hypertension
concerns weighed
    ** Co has ~34.5 mln shares outstanding for ~$5.6 bln market
cap
    ** Equity raise boosts its cash coffers to $1.5 bln
    ** Shares off 18% YTD through Tues following 50% gain in
2022

 (Lance Tupper is a Reuters market analyst. The views expressed
are his own)
 ((lance.tupper@thomsonreuters.com
lance.tupper@tr.com 1-646-279-6380))