The shares of next-generation vaccine developer Novavax (NVAX.US) have come under pressure in the face of a $125 million offer to sell common stock. The funds from the sale are expected to inject into the company's budget and expenses. The company intends to grant 30-day options to purchase up to $18.75 million in additional common shares:
- J.P. Morgan, Jefferies and Cowen have been selected to act as underwriters of the common stock offering. Concurrent with the common stock offering, Novavax also announced a $125 million offering of convertible notes due 2027.
- The company is likely to use the net proceeds from the stock and bond offerings for general corporate purposes, including the flotation of Nuvaxovid and the repayment or repurchase of a portion of the $325 million in debt.
Novavax (NVAX.US) shares, M30 interval. Novavax shares are close to price levels that have proven to be strong support levels since the beginning of 2000 and have indicated an imminent unwinding of the company's share price. Source: xStation5
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