The company plans to complete its offering of 7.3 million shares on Monday, April 3. It is also selling 1.1 million shares to Baker Brothers Investments in a private placement.
Seattle Genetics expected to net $38.4 million from public offering, after an 8 percent underwriting discount and offering expenses of $250,000. That estimate was based on Monday’s closing price of $5.74 per share. The company’s stock sank 56 cents or 9.8 percent to $5.18 in heavy trading today.
Seattle Genetics said it will use proceeds from the sale for clinical and pre-clinical development of its slate of monoclonal antibodies in development against cancer and other diseases. Other uses include manufacturing, potential acquisitions and general corporate purposes.