Health and Healthcare
T2 Biosystems Prices Secondary Offering
Published:
Last Updated:
T2 Biosystems Inc. (NASDAQ: TTOO) saw its shares drop handily early on Friday after the firm announced that it would be pricing its secondary offering. The company is offering 4.375 million shares at $4 apiece, with an overallotment option for an additional 656,250 shares. At this price the entire offering is valued up to $20.125 million.
Keep in mind that before the move the total market cap of this company was roughly $187 million.
The underwriters for this offering are Canaccord Genuity, Cantor Fitzgerald, Janney Montgomery Scott, Jones Trading and WBB.
This is an in vitro diagnostics company that has developed an innovative and proprietary technology platform that offers a rapid, sensitive and simple alternative to existing diagnostic methodologies. The company is using its T2 Magnetic Resonance technology (T2MR) to develop a broad set of applications aimed at lowering mortality rates, improving patient outcomes and reducing the cost of health care by helping medical professionals make targeted treatment decisions earlier.
T2MR enables rapid detection of pathogens, biomarkers and other abnormalities in a variety of unpurified patient sample types, including whole blood, plasma, serum, saliva, sputum and urine, and it can detect cellular targets at limits of detection as low as one colony forming unit per milliliter. Its initial development efforts target sepsis and Lyme disease, which are areas of significant unmet medical need in which existing therapies could be more effective with improved diagnostics.
The company intends to use the net proceeds of this offering to fund commercial efforts and research and development activities and for other general corporate and working capital purposes. Management believes that its cash, cash equivalents and short-term investments, together with the net proceeds from this offering, will fund its operations into the first half of 2019.
Shares of T2 were last seen down about 25% at $4.55, with a consensus analyst price target of $5.00 and a 52-week range of $2.50 to $8.04.
Take This Retirement Quiz To Get Matched With A Financial Advisor (Sponsored)
Take the quiz below to get matched with a financial advisor today.
Each advisor has been vetted by SmartAsset and is held to a fiduciary standard to act in your best interests.
Here’s how it works:
1. Answer SmartAsset advisor match quiz
2. Review your pre-screened matches at your leisure. Check out the
advisors’ profiles.
3. Speak with advisors at no cost to you. Have an introductory call on the phone or introduction in person and choose whom to work with in the future
Take the retirement quiz right here.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.
Editors' Picks
