Virpax Pharmaceuticals, Inc. (NASDAQ:VRPX) rose sharply soon after Monday’s opening bell, after exciting news for stockholders and prospective stockholders.
Virpax Pharmaceuticals filed for offering of 3.4 million shares of common stock
Based on an assumed price of $14.70--the last reported price for its shares when it filed the prospectus for the offering--Virpax estimated net proceeds of about $46.2 million, or $53.2 million if the underwriters use an option in full to buy up to 510,204 additional shares.
The company said it plans to use the money raised for product development, including cliunical and resulatry research and development and to repay outstanding promisory notes to its chief executive totaling $1.3 million and deferred compensation due to the CEO of about $1.1 million.
Virpax has exclusive worldwide rights to non-opioid, non-addictive analgesic delivery systems. The company’s pipeline has candidates eligible for abbreviated regulatory pathway as well as an OTC.
A number of stock watchers have said VRPX shares look attractive at current values.
VRPX shares took a wallop, losing 84 cents, or 7.2%. to $10.76.
