TC BioPharm (NASDAQ:TCBP) stock is falling on Wednesday after the clinical-stage biopharmaceutical company announced the pricing of a registered direct offering of its shares.
TC BioPharm is selling 2 million of its American Depository Shares (ADS) for $1 per share, and the company expects gross proceeds of $2 million from this offering.
To accompany this, the company is offering warrants for 2 million shares of TCBP stock to a single investor. These Series G warrants are exercisable only with cash, and the exercise price is £0.78 per share.
TC BioPharm notes that it already has plans for the funds it will gain from this offering. The company intends to use the money to fuel its clinical trial focusing on relapse/refractory Acute Myeloid Leukemia, as well as for operating expenses and working capital.
What This Means for TCBP Stock
TC BioPharm’s offering of TCBP stock increases the total number of outstanding shares, diluting investors’ stakes. This is one reason why the stock is down today.
On top of that, the $1 offering price is a significant discount over the stock’s prior closing price of $3.65 per share. It makes sense the stock would fall today alongside this discount.
TCBP stock is down 45.8% as of Wednesday morning. That comes with about 24,000 shares traded, which is roughly double its daily average.
Below are more stock market stories traders are going to want to read!
We are offering up all of the latest stock market stories investors need to know about on Wednesday! A few examples include what’s happening with shares of Viracta Therapeutics (NASDAQ:VIRX) and Digital Ally (NASDAQ:DGLY) stock, as well as the biggest pre-market stock movers this morning. All of this news is ready to go at the links below!
More Wednesday Stock Market News
- Why Is Viracta Therapeutics (VIRX) Stock Up 42% Today?
- Why Is Digital Ally (DGLY) Stock Up 82% Today?
- Today’s Biggest Pre-Market Stock Movers: 10 Top Gainers and Losers on Wednesday
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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.
On the date of publication, the responsible editor did not have (either directly or indirectly) any positions in the securities mentioned in this article.
