Harpoon Therapeutics (NASDAQ: NASDAQ:HARP) has announced its plans to secure approximately $150 million through a securities purchase agreement for private investment in public equity (PIPE) financing. The closure of this deal is anticipated by Wednesday, October 25, 2023.
The biotechnology firm plans to issue over 17 million shares and warrants for close to 8.5 million shares at a price of $5.8345 per share or pre-funded warrants at $5.8344 each. This arrangement involves several participants, including Soleus Capital, Commodore Capital, New Leaf Venture Partners, RA Capital Management, Ally Bridge Group, Lion Point Capital, K2 HealthVentures, Surveyor Capital, Cormorant Asset Management, Invus, and a large mutual fund.
Harpoon Therapeutics' decision to raise capital through this method is a strategic move aimed at bolstering its financial position and advancing its operations. The company intends to use the funds from this round to fuel its growth objectives in the biotech industry.
According to InvestingPro data, Harpoon Therapeutics, with an adjusted market cap of 26.67M USD, has seen notable revenue growth, with a quarterly increase of 143.54% for FY2023.Q2. The company's stock price has also experienced significant movements, with a strong return over the last month of 72.0%, although it's worth noting that the stock's price is only 10.31% of its 52-week high.
InvestingPro Tips highlights that while Harpoon Therapeutics has been accelerating its revenue growth, it holds more cash than debt on its balance sheet, which is a positive sign for potential investors. However, the company is quickly burning through cash and has been dealing with weak gross profit margins, as indicated by a gross profit of -20.77M USD and a gross profit margin of -44.66% for LTM2023.Q2.
These insights and more are available through InvestingPro's premium service, which offers access to real-time metrics and valuable investment tips. With an additional 15 tips listed in InvestingPro, investors can gain a deeper understanding of the market and make more informed decisions.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.