Cel-Sci Stock Slips After Public Offering: Retail's Neutral

Shares of Cel-Sci Corp ($CVM) slipped in the after-hours trading session on Friday following the company’s announcement of a share offering, with retail sentiment staying neutral.

The purchase price of the offering, for its common stock par value of $0.01 per share, wasn’t immediately known. The last reported sale price of its stock was $0.70 per share.

According to the company’s filing with the SEC, it is offering potential purchasers, along with related parties who own more than 4.99% of its outstanding common stock immediately following the consummation of this offering, the opportunity to purchase pre-funded warrants exercisable at an exercise price of $0.01 per share.

The purchase price of each pre-funded warrant is equal to the price per share of common stock being sold to the public in this offering, minus $0.01, the statement said.

The pre-funded warrants will be immediately exercisable and may be exercised at any time until all of the pre-funded warrants are exercised in full, the statement added. For each warrant, the number of shares of common stock on offer will be decreased on a one-for-one basis. 

Retail sentiment on Stocktwits has been ‘neutral’ compared to a week ago. Message volumes have been in the normal range.
 

A ‘bearish’ commenter was not convinced on the terms.

The company has engaged ThinkEquity as the placement agent in connection with this offering.

Cel-Sci develops immunotherapy products for the treatment of cancer and infectious diseases.

Cel-Sci stock is down 77% year-to-date.

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