NEW YORK – Elevation Oncology on Thursday priced an underwritten public offering of 17,810,000 shares of its common stock expected to bring in approximately $50 million in gross proceeds.
The New York-based company is selling 17,810,000 shares of common stock at $2.25 per share. Investors can also choose to buy pre-funded warrants to purchase up to an aggregate of 4,440,000 shares of common stock at the same price. The company is also selling accompanying warrants to purchase one share of common stock for each share of common stock or pre-funded warrant sold. The accompanying warrants can be exercised immediately at $2.25 per share and will expire five years after issuance.
Elevation will use the proceeds from the offering, slated to close on June 13, to fund clinical development of its lead candidate EO-3021, a Claudin 18.2-targeted antibody-drug conjugate and support other general corporate purposes, the firm said in a filing with the US Securities and Exchange Commission.
In January, Elevation restructured its pipeline and paused further clinical development of seribantumab, an anti-HER3 drug that was undergoing Phase II trials in patients with NRG1 fusion-positive solid tumors. The firm said it would only continue development of seribantumab with a partner, and refocused its development efforts on EO-3021, which is in the preclinical stage. Last year, the firm licensed EO-3021 from CSPC Megalith Biopharmaceutical, gaining rights to develop the drug outside of mainland China, Hong Kong, Macau, and Taiwan.
Elevation went public in 2021 with a $100 million initial public offering. During two previous funding rounds, the firm has raised more than $97 million.