WILMETTE, Ill. – Monopar Therapeutics Inc . (NASDAQ:), a clinical-stage biopharmaceutical company whose stock has surged over 1,000% in the past year, has announced the pricing of a new stock offering and a concurrent private placement of pre-funded warrants. According to InvestingPro analysis, the company is currently trading above its Fair Value, following a remarkable 607% price increase over the past six months. The public offering consists of 798,655 shares of common stock priced at $23.79 each, while the private placement includes pre-funded warrants to purchase 882,761 shares at $23.789 per warrant, just below the common stock price, reflecting the nominal exercise price. With a current market capitalization of approximately $126 million, InvestingPro data reveals the company maintains strong liquidity with a current ratio of 5.41, indicating robust short-term financial health.
Monopar expects to raise $40 million in gross proceeds from these transactions before underwriting discounts, commissions, and estimated offering expenses. The closing of the offering is scheduled for approximately December 23, 2024, contingent on standard closing conditions.
The funds raised are earmarked for general corporate purposes, which may cover research and development, clinical trials, product manufacturing and supply, and working capital. Major participants in the offering include RA Capital Management, Janus Henderson Investors, Adage Capital Partners (WA:) LP, and ADAR1 Capital Management, with Piper Sandler & Co. serving as the sole book-running manager.
The securities in the registered offering are being sold according to a “shelf” registration statement filed with the U.S. Securities and Exchange Commission (SEC) on December 21, 2022, and declared effective on January 4, 2023. Relevant details of the offering will be available in a prospectus supplement and accompanying prospectus filed with the SEC.
Monopar Therapeutics focuses on developing treatments for patients with unmet medical needs, including late-stage ALXN-1840 for Wilson disease and radiopharma programs for advanced cancers. While analysts maintain a strong buy consensus with a high target of $37, InvestingPro subscribers can access 11 additional investment tips and comprehensive financial metrics to better evaluate the company’s potential. The company’s forward-looking statements highlight the inherent risks and uncertainties in the drug development and approval process.
This news is based on a press release statement from Monopar Therapeutics Inc. and does not constitute an offer to sell or a solicitation of an offer to buy any securities.
In other recent news, Monopar Therapeutics has been a focal point of several significant developments. The company has secured an exclusive global license for ALXN-1840, a drug candidate for Wilson’s disease, from Alexion (NASDAQ:), a subsidiary of AstraZeneca (NASDAQ:) Rare Disease. This strategic move is expected to create new revenue streams and has led to Jones Trading raising Monopar’s stock target from $9.00 to $37.00 and maintaining a Buy rating. H.C. Wainwright also upgraded its price target from $6.00 to $22.00, keeping its Buy rating intact.
Monopar reported no revenues for the second quarter of 2024 and posted a net loss of $0.10 per share. The company is also planning a public offering of common stock, the terms of which are yet to be finalized. Furthermore, Monopar has initiated a Phase I therapeutic trial for MNPR-101-Lu in Australia, targeting patients with advanced solid cancers, and announced a 5-for-1 reverse stock split, regaining compliance with Nasdaq’s minimum bid price requirement.
The company has expanded its partnership with NorthStar Medical (TASE:) Radioisotopes, securing a long-term contract for the supply of actinium-225, a key radioisotope used in cancer treatment. Lastly, Monopar announced the retirement of CFO Kim R. Tsuchimoto, with Karthik Radhakrishnan set to assume her roles. These are among the recent developments at Monopar Therapeutics.
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