Clovis Oncology Inc (NASDAQ:CLVS) announced that it has commenced an underwritten public offering of shares of its common stock to raise aggregate proceeds of approximately $175 million. All shares of the common stock to be sold in the offering will be offered by Clovis Oncology.

Clovis Oncology intends to use the net proceeds of the offering for general corporate purposes, including commercial planning and sales and marketing expenses associated with the launch of Rubraca (rucaparib) in the United States and, if approved by the European Medicines Agency (EMA), in Europe, funding of its development programs, general and administrative expenses, acquisition or licensing of additional product candidates or businesses and working capital.

J. P. Morgan Securities LLC and BofA Merrill Lynch are acting as joint book-running managers for the offering. Stifel and SunTrust Robinson Humphrey are acting as co-managers for the offering.

In addition, Clovis Oncology intends to grant the underwriters a 30-day option to purchase up to an additional 15 percent of the number of shares sold on the same terms and conditions. The offering is subject to market and other conditions, and there can be no assurance as to whether or when the offering may be completed, or as to the actual size or terms of the offering. (Original Source)

Shares of Clovis Oncology are currently falling 1.o6% to $43.95, or down $0.47 in pre-market trading Tuesday. CLVS has a 1-year high of $46.97 and a 1-year low of $11.57. The stock’s 50-day moving average is $38.46 and its 200-day moving average is $27.18.

On the ratings front, Clovis Oncology has been the subject of a number of recent research reports. In a report issued on December 21, WallachBeth Capital LLC analyst Caroline Palomeque reiterated a Hold rating on CLVS, with a price target of $49, which implies an upside of 10% from current levels. Separately, on December 20, Chardan’s Madhu Kumar upgraded the stock to Hold and has a price target of $36.

According to TipRanks.com, which ranks over 7,500 financial analysts and bloggers to gauge the performance of their past recommendations, Caroline Palomeque and Madhu Kumar have a yearly average loss of -11.8% and -21.9% respectively. Palomeque has a success rate of 33% and is ranked #3411 out of 4345 analysts, while Kumar has a success rate of 30% and is ranked #4185.

Sentiment on the street is mostly neutral on CLVS stock. Out of 8 analysts who cover the stock, 5 suggest a Hold rating and 3 recommend to Buy the stock. The 12-month average price target assigned to the stock is $45.50, which represents a slight upside potential from current levels.

Clovis Oncology, Inc. is a biopharmaceutical company which focuses on acquiring, developing and commercializing cancer treatments in the United States, Europe and other international markets. The company has three product candidates in its clinical development pipeline: Rociletinib, Rucaparib and Lucitani.