Avalo Therapeutics (NASDAQ:AVTX) stock is rocketing higher on Thursday after announcing a couple of positive updates for investors in the clinical-stage biotechnology company.
The first big update worth noting is the company securing $185 million through a private placement. This funding comes from an agreement with institutional investors.
The private placement includes $115.6 million of non-voting convertible preferred stock and warrants worth another $69.4 million. Avalo Therapeutics expects net upfront proceeds of $105 million from this private placement.
AVTX Stock: AlmataBio Acquisition
Avalo Therapeutics is also up today after completing its acquisition of AlmataBio. The company did so to acquire AVTX-009, which is an anti-IL-1β mAb.
The exciting news about this is that AVTX-009 is already set for a Phase 2 clinical trial. Avalo Therapeutics is expecting topline results from this clinical trial in 2026.
Avalo Therapeutics notes that it expects its recent private placement to give it funding beyond this clinical trial. This should have the upfront payment last it through 2027.
AVTX stock is up 325.7% as of Thursday morning. This comes as some 1.2 million shares trade hands. The company’s daily average trading volume is about 92,000 shares.
Investors who are seeking out even more of the most recent stock market stories are in the right place!
We have all of the hottest stock market news that traders need to know about on Thursday! That includes the biggest pre-market stock movers this morning and the latest earnings reports worth reading about today! You can find all of that info ready at the links below!
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On the date of publication, William White did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
