Synthetic Biologics Inc (NYSEMKT:SYN), a clinical-stage company focused on developing therapeutics to protect the microbiome while targeting pathogen-specific diseases, today announced that it has priced an underwritten public offering of 13.3 million shares of common stock at a price of $3.00 per share, for expected gross proceeds of approximately $40.0 million. The transaction is expected to close on or before July 21, 2015, subject to customary closing conditions.
Net proceeds to the Company, after deducting the underwriters’ discounts and other estimated offering expenses, are expected to be approximately $37.0 million. The Company has granted the underwriters a 30-day option to purchase up to an additional 2.0 million shares of common stock to cover over-allotments, if any.
The Company anticipates using the net proceeds from the offering to fund its clinical programs including Phase 2 clinical candidates, SYN-004 for the prevention of C. difficile and SYN-010 for the treatment of irritable bowel syndrome with constipation (IBS-C), research & development, potential licensing and acquisition of intellectual property, investments in and acquisition of complementary businesses or partnerships, and for general corporate purposes. (Original Source)
Shares of Synthetic Biologics closed yesterday at $3.76. SYN has a 1-year high of $4.32 and a 1-year low of $1.32. The stock’s 50-day moving average is $2.67 and its 200-day moving average is $2.22.
On the ratings front, Synthetic has been the subject of a number of recent research reports. In a report issued on June 5, William Blair analyst Jonathan Ho reiterated a Buy rating on SYN, with a price target of $12, which represents a potential upside of 219.1% from where the stock is currently trading. Separately, on June 4, H.C. Wainwright’s Andrew Fein maintained a Buy rating on the stock and has a price target of $4.
According to TipRanks.com, which ranks over 7,500 financial analysts and bloggers to gauge the performance of their past recommendations, Jonathan Ho and Andrew Fein have a total average return of 23.9% and 29.5% respectively. Ho has a success rate of 73.1% and is ranked #385 out of 3707 analysts, while Fein has a success rate of 68.5% and is ranked #62.
Synthetic Biologics Inc is a biotechnology company focused on the development of novel anti-infective biologic and drug candidates targeting specific pathogens that cause serious infections and other diseases.