Shares of EyePoint Pharmaceuticals (EYPT) took a 5.12% plunge on Monday after the biopharmaceutical company announced a $100 million public offering of its common stock. The stock sell-off came despite EyePoint reporting positive mid-stage trial data earlier in the day for its lead drug candidate Duravyu in treating diabetic macular edema.
EyePoint plans to use the net proceeds from the $100 million stock offering to fund the continued development of Duravyu and support its earlier-stage pipeline initiatives. The offering is being underwritten by J.P. Morgan, Citigroup, and Guggenheim Securities as joint book-running managers.
While the topline data showed Duravyu improved visual acuity in diabetic macular edema patients compared to the control group, EyePoint said it expects to report the full results from the mid-stage trial in the first quarter of 2025. Investors may be taking a cautious stance until the complete trial data is released, choosing to focus on the near-term dilutive impact of the $100 million stock offering for now.
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.