ImmunoCellular Therapeutics Ltd (NYSEMKT:IMUC) announced the pricing of an underwritten public offering of 47,000,000 shares of its common stock and base warrants to purchase up to 35,250,000 shares of its common stock at a public offering price of $0.16 per share and related base warrant, for total expected gross proceeds to ImmunoCellular of approximately$7.4 million, before deducting underwriting discounts, commissions, and other offering expenses. The base warrants have an exercise price of $0.1921 per share of common stock, are exercisable immediately and will expire five years from the date of issuance. Additionally, ImmunoCellularhas granted the underwriters a 45-day option to purchase up to an additional 7,050,000 shares of its common stock and/or base warrants to purchase 5,287,500 shares of its common stock.
As a component of the offering, ImmunoCellular is offering pre-funded warrants in lieu of common stock to certain investors at the per share public offering price for the common stock and related base warrant, less the $0.01 per share exercise price for each such pre-funded warrant.
The shares of common stock are currently listed on the NYSE MKT under the ticker symbol “IMUC.” ImmunoCellular has applied to list the base warrants on the NYSE MKT and expects trading to begin following their issuance at closing under the ticker symbol “IMUCWS.” The offering is expected to close on or about August 12, 2016, subject to the satisfaction of customary closing conditions.
Maxim Group LLC is acting as sole book-running manager for the offering. Laidlaw & Company (UK) Ltd. is acting as lead manager.
ImmunoCellular intends to use the net proceeds of this offering to continue enrollment in its phase 3 clinical trial of ICT-107, to complete phase 1 development of ICT-121, to continue its T cell research program and for working capital and general corporate purposes. A portion of the net proceeds may be used to acquire additional technologies.(Original Source)
Shares of ImmunoCellular falling over 30% to $0.13 in pre-market trading Tuesday. IMUC has a 1-year high of $0.64 and a 1-year low of $0.18. The stock’s 50-day moving average is $0.22 and its 200-day moving average is $0.26.
On the ratings front, Maxim Group analyst Jason McCarthy reiterated a Buy rating on IMUC, with a price target of $3, in a report issued on June 8. The current price target implies an upside of 1478.9% from current levels. According to TipRanks.com, McCarthy has a yearly average return of -2.4%, a 40.7% success rate, and is ranked #3479 out of 4105 analysts.
ImmunoCellular Therapeutics Ltd. is a Los Angeles-based clinical-stage company that develops immune-based therapies for the treatment of brain and other cancers. ImmunoCellular’s pipeline includes: ICT-121, a dendritic cell immunotherapy targeting the CD133 antigen on stem cells in recurrent glioblastoma; ICT-140, a dendritic cell immunotherapy targeting antigens on ovarian cancer stem cells; and the Stem-to-T-cell research program which engineers the patient’s hematopoietic stem cells to generate antigen-specific cancer-killing T-cells.