Monte Rosa Therapeutics drops on $100 mln equity offering

Monte Rosa Therapeutics

16/05/2024 12:49

** Shares of Monte Rosa Therapeutics  GLUE.O  drop 7.8%
premarket to $4.82 after early-stage biotech's follow-on prices
    ** Shares could snap 3-session winning streak, if losses
hold
    ** Co announces ~21.2 mln shares, including ~10.6 mln
pre-funded warrants, at $4.70 for $100 mln gross proceeds 
    ** Offering price represents 10.1% discount to stock's last
close
    ** Monte Rosa plans to use net offering proceeds to fund
clinical development of its cancer and autoimmune and
inflammatory diseases drug candidates
    ** Co, which had about $193 mln of cash at end-Mar, has
~50.3 mln shares outstanding for roughly $260 mln market cap
    ** Through Weds, shares have lost ~7% YTD including ~26%
decline this qtr
    ** TD Cowen and Wedbush PacGrow are jt bookrunners for the
offering

 (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))