Annexon Inc (NASDAQ:ANNX) stock fell 6.7% in after-hours trading on Wednesday following the company’s announcement of a $75 million public offering of common stock or pre-funded warrants.
The clinical-stage biopharmaceutical company, which focuses on neuroinflammation treatments, said it would offer $75 million worth of shares or pre-funded warrants to purchase shares. Annexon also plans to grant underwriters a 30-day option to purchase up to an additional $11.25 million of its common stock.
Goldman Sachs & Co. LLC, TD Cowen and Wells Fargo Securities are serving as joint book-running managers for the proposed offering, which remains subject to market conditions. The company noted that there can be no assurance regarding the completion or final terms of the offering.
Annexon is advancing a late-stage clinical platform targeting complement-mediated diseases affecting the body, brain, and eye. The stock’s decline reflects the typical market reaction to public offerings, which often lead to share dilution for existing stockholders.
