Verastem Oncology drops after $90 mln stock sale

Verastem

14/11/2025 12:39

** Verastem's VSTM.O shares down 9.6% premarket to $7.33 after $90 mln follow-on priced

    ** Needham, Massachusetts-based biopharma announced ~12.4 mln shares, including ~3.87 mln pre-funded warrants, at $7.25

    ** Offering price represents 10.6% discount to stock's last close

    ** It intends to use net offering proceeds to fund commercial activities for its U.S. FDA-approved ovarian cancer therapy, branded as Avmapki Fakzynja Co-pack, continued R&D of other product candidates, among other purposes

      ** VSTM has ~66.8 mln shares outstanding

** Jefferies, Guggenheim and Cantor Fitzgerald are joint bookrunners for offering

** Shares on Thurs finished down 4.7%, trimming YTD gain to 57%

    ** All 9 analysts covering VSTM are bullish and their median PT is $15.50, per LSEG data

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

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