Milestone Pharma tumbles on deep-discounted $52.5 mln equity raise

Milestone Pharmaceuticals

11/07/2025 15:39

Updates with pricing details

    ** Milestone Pharmaceuticals' MIST.O shares tumble 38.1% to $1.59, a six-week low, early Fri after $52.5 mln equity raise

    ** Canada-based firm sells 35 mln shares, including ~3.5 mln pre-funded warrants, and accompanying Series A and B warrants at $1.50, 41.4% discount to stock's last close

      **

      It intends to
     use net proceeds to help fund clinical development and commercial launch of etripamil, its nasal spray to treat a type of heart condition called paroxysmal supraventricular tachycardia, among other purposes

** Co early Fri announced U.S. FDA accepted for review its response to issues raised in Complete Response Letter for Cardamyst (etripamil)

** The health regulator has assigned a new Prescription Drug User Fee Act (PDUFA) target action date of Dec 13, 2025, co says

** On Mar 28, MIST shares plummeted 61% to close at 88 cents after FDA declined to approve Cardamyst and had called for an inspection of the facility that performs testing of the drug

    ** TD Cowen, Piper Sandler and Wells Fargo are jt bookrunners for the offering

    ** Co has ~53.46 mln shares outstanding and ~51 mln shares of public float, per LSEG data

     ** MIST shares on Fri snapping a 6-session winning streak in which they had racked up a 36% gain

    ** 2 analysts rate stock "buy", the other 2 rate "hold" and median PT is $4, according to latest LSEG data

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

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