Equillium (NASDAQ:EQ) news for Tuesday concerning a deal to sell shares of EQ stock has it falling on Tuesday.
The Equillium news release notes that the company is teaming up with Jefferies Financial Group (NYSE:JEF) for the sale of its shares. This will have it selling up to $150 million worth of its common stock through the financial services company.
Equillium notes that the deal with Jefferies will have it selling the shares at market offerings. It also notes that this deal does not guarantee that Jefferies will sell any shares of EQ stock as part of the agreement.
Terms of the deal include Jefferies acting as the sale agent for Equillium in return for a percentage of sales of its common stock. This will have the financial company earnings 3% compensation on any sales that it makes of EQ stock.
It’s worth pointing out that this deal comes just one day after positive news from Equillium. The company reported that a clinical trial of itolizumab in India showed it was able to drastically decrease the mortality rates of patients suffering from the novel coronavirus.
Following this news yesterday, Equillium saw EQ stock rocket 730.7% higher during normal trading hours. However, the company’s stock started to quickly drop again when markets opened today.
EQ was down 45.7% as of Tuesday afternoon but is still up 547.9% since the start of the year.
As of this writing, William White did not hold a position in any of the aforementioned securities.