Company Update (NASDAQ:CYTR): CytRx Corporation Announces Proposed Public Offering of Common Stock
CytRx Corporation (NASDAQ:CYTR), a biopharmaceutical research and development company specializing in oncology, today announced its intention, subject to market and other conditions, to commence an underwritten public offering of its common stock. CytRx intends to use the net proceeds of the offering to fund clinical trials of its drug candidate aldoxorubicin and its drug discovery activities and for general corporate purposes, which may include pre-commercialization activities relating to aldoxorubicin, working capital, capital expenditures, research and development and other commercial expenditures. 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.
Jefferies LLC is the sole book-running manager for the offering. (Original Source)
Cytrx shares are currently falling nearly 25% following the offering announcement. CYTR has a 1-year high of $5.42 and a 1-year low of $2.08. The stock’s 50-day moving average is $3.90 and its 200-day moving average is $3.66.
On the ratings front, Cytrx has been the subject of a number of recent research reports. In a report issued on May 22, Imperial analyst Ashok Kumar maintained a Buy rating on CYTR, with a price target of $6, which implies an upside of 51.5% from current levels. Separately, on May 5, Oppenheimer’s Christopher Marai reiterated a Buy rating on the stock and has a price target of $10.
According to TipRanks.com, which ranks over 7,500 financial analysts and bloggers to gauge the performance of their past recommendations, Ashok Kumar and Christopher Marai have a total average return of 11.8% and 54.8% respectively. Kumar has a success rate of 58.5% and is ranked #411 out of 3712 analysts, while Marai has a success rate of 76.5% and is ranked #6.
CytRx Corp is a biopharmaceutical research and development company specializing in oncology. Its oncology pipeline includes three clinical-stage drug candidates in various stages of development: Aldoxorubicin, Tamibarotene, and Bafetinib.