Friday’s biggest losers: ProQR Therapeutics, Enveric Biosciences, and Surgalign Holdings
ProQR tanks after congenital eye disease failure
ProQR Therapeutics N.V. (NASDAQ: PRQR) shares tanked 75.35% on Friday after its congenital eye diseases treatment in children failed to enhance mobility and vision. Wall Street spat back after the company’s flagship candidate missed both the primary and secondary objectives in the pivotal phase 2/3 trial. The company was evaluating its sepofarsen experimental RNA therapy in CEP290-mediated Leber congenital amaurosis 10 (LCA10) treatment.
The biopharmaceutical company indicated that sepofarsen didn’t show any benefit compared to placebo in the subjects that received the set registration dosage or a lower dosage. The company has recruited 36 children above eight years with Leber congenital amaurosis. The drug failed to correct vision in the dosed cohort, and subjects didn’t show statistical differences. ProQR plans to do more analysis to establish why there was considerable variance in results between the two studies. Currently, the company is evaluating QR-421a in retinitis pigmentosa and Usher syndrome, and last year it entered a research and collaboration deal of over $1 billion with Eli Lilly & Co.
Enveric Biosciences drops 49.03% after pricing public offering.
Enveric Biosciences Inc. (NASDAQ: ENVB) shares fell 49.03% after the neurosciences company announced the pricing of an underwritten public offering of 20 million shares and warrants to acquire 20 million shares of its capital. Each common share comprises a common share purchase warrant, and the company offered the shares at $0.5 per share plus warrant minus underwriting commissions and discounts. The offering price was a 24% downside in the closing price on Thursday of $0.66.
According to FactSet, the company had 31.4 million outstanding shares before pricing the offering. The warrants are exercisable immediately at $0.55 per share with an expiry of five years from the day of issuance. The offering will close on February 15, 2022, subject to satisfactory closing conditions. In addition, underwriters have been granted a 45-day option to acquire 3 million common shares and/or warrants to buy another 3 million common shares at the offering price.
Surgalign Holdings prices $20 million public offering
Surgalign Holdings Inc. (NASDAQ: SRGA) shares were down 45.57% on Friday after the priced its previously disclosed underwritten public offering of 43.47 million common shares and warrants to buy a total of 32.508 million common shares at a combined price of $0.46 per common share or pre-funded warrant and associated 0.75 of a warrant. Every warrant is exercisable immediately at $0.6 per share and has a five-year expiry from the day of issuance. Interesting Sugarlign is selling all securities offered in the offering.
The company has also granted underwriters a 30-day option to buy around 6.522 million common shares and/or warrants to buy an additional 4.891 million common shares at the offering price minus underwriting commissions and discounts. Gross proceeds are expected to be around $20 million before accounting for underwriting commissions and discounts and minus any proceeds realized from the exercise of warrant options to buy common shares. Net proceeds will use for corporate purposes and general working capital.