Interpace Diagnostics Group Inc (NASDAQ:IDXG) announced the pricing of an underwritten public offering of 1,200,000 shares of common stock with a public offering price of $3.00, a 30.5% discount to yesterday’s closing price.

The Company expects to receive gross proceeds of approximately $3.6 million, before deducting underwriting discounts and commissions and other estimated offering expenses. The Company has granted the representative of the underwriters an over-allotment option to purchase up to an additional 108,000 of the shares of its common stock.

The offering is expected to close on or about February 8, 2017, subject to customary closing conditions.

Interpace intends to use the net proceeds of the offering for working capital, repayment of indebtedness and other liabilities, and general corporate purposes.

In reaction, Interpace Diagnostics shares are falling nearly 28% to $3.10 in pre-market trading. IDXG has a 1-year high of $19.80 and a 1-year low of $0.70. The stock’s 50-day moving average is $3.98 and its 200-day moving average is $1.13.

Interpace Diagnostics Group, Inc. engages in the development and commercialization molecular diagnostic tests principally focused on early detection of high potential progressors to cancer. It offers commercialized molecular tests which include PancraGen, ThyGenX, and ThyraMIR. The company was founded by John P. Dugan in 1987 and is headquartered in Parsippany, NJ.