Bulls piled into the company’s shares after a highly eventful five days.
What transpired The biotech Apellis Pharmaceuticals (APLS -0.40%) experienced a very eventful week. The company has since reported earnings and announced a new round of capital raising in response to news of a crucial regulatory approval on Friday afternoon. According to data compiled by S&P Global Market Intelligence, investors reacted favorably to all of this, and as a result, the share price of the company increased by 20% this week.
Therefore, Apellis’ Syfore received approval from the Food and Drug Administration (FDA) of the United States. The company is quick to point out that this makes Syfore the first treatment that has been approved by the FDA for geographic atrophy caused by age-related macular degeneration, a common eye disease that affects many older people.
Apellis’s results for the fourth quarter and the entire year 2022 were soon after.
The quarter saw the biotech procure $22.6 million, which was down from the year-prior count of $60.3 million. In comparison to the deficit of $148 million for the fourth quarter of 2021, the net loss increased slightly but not significantly, reaching almost $166 million ($1.50 per share). Analysts were anticipating a net loss of $1.51 per share and a revenue of $24.3 million on average.
Last but not least, Apellis announced on Thursday that it would conduct a public offering of slightly more than 3.17 million shares of its common stock at a price of $63 per share. Pre-funded warrants can be purchased for that price less a small fraction of $0.01; In this manner, up to slightly more than 2.38 million shares will be made available. The offering ought to end on Monday, February 27.
Now what? In its regulatory filing regarding the stock/warrant issue, Apellis stated that it anticipates raising funding in the range of $333 million to $383 million. This will be used to support the commercialization of Syfore and Empaveli, the company’s other approved treatment for the rare blood disorder known as paroxysmal nocturnal hemoglobinuria (PNH).
The monies will likewise be directed into other examination endeavors, in addition to “working capital and other general corporate purposes.”