Bio Blast Pharma Ltd (NASDAQ:ORPN) announced that it has entered into definitive securities purchase agreements with two healthcare focused institutional investors providing for the issuance of approximately 2.16 million ordinary shares at a purchase price per share of $3.10 in a registered direct offering and warrants to purchase up to approximately 1.08 million ordinary shares with an exercise price of$4.50 with gross proceeds of approximately $6.7 million. The warrants are initially exercisable six months following issuance and have a term of five and one-half years following issuance.
Roth Capital Partners and Rodman & Renshaw, a unit of H.C. Wainwright & Co., acted as the exclusive placement agents for this transaction.
The closing of the sale of the securities is expected to take place on or about March 22, 2016, subject to satisfaction of customary closing conditions. (Original Source)
Shares of Bio Blast Pharma closed yesterday at $4.08, up $1.44 or 54.55%. ORPN has a 1-year high of $8.50 and a 1-year low of $2.58. The stock’s 50-day moving average is $2.97 and its 200-day moving average is $4.25.
On the ratings front, Bio Blast Pharma has been the subject of a number of recent research reports. In a report issued on January 28, Rodman & Renshaw analyst Ram Selvaraju initiated coverage with a Buy rating on ORPN and a price target of $25, which implies an upside of 512.7% from current levels. Separately, on December 9, Oppenheimer’s Ling Wang assigned a Buy rating to the stock and has a price target of $32.
According to TipRanks.com, which ranks over 7,500 financial analysts and bloggers to gauge the performance of their past recommendations, Ram Selvaraju and Ling Wang have a total average return of 0.0% and -27.3% respectively. Selvaraju has a success rate of 40.5% and is ranked #2332 out of 3735 analysts, while Wang has a success rate of 9.4% and is ranked #3730.
Bio Blast Pharma Ltd is a development-stage biopharmaceutical company. It is engaged in the identification, licensing, acquisition, development and commercialization of drugs for rare and ultra-rare genetic and metabolic diseases.