XOMA Corporation (NASDAQ: XOMA)
XOMA Corporation is having a great time during today’s trading session. When the opening bell rang, the stock found itself trading in the green. From there, we saw a continuation of strong movement upward, expanding the profits. Below, we’ll talk about what we’re seeing from XOMA, why, and what we’ll be watching for ahead.
What We’re Seeing From XOMA
As mentioned above, XOMA Corporation is having an incredibly strong trading session in the market today. When the trading session opened, the stock was already slightly in the green. From there, we saw a continuation of strong upward movement, expanding on the gains. At the moment (11:01), XOMA is trading at $4.69 per share after a gain of $0.66 per share (16.38%) thus far today.
Why The Stock Is Climbing
As is generally the case, our friends at Trade Ideas were the first to alert us to the gains on XOMA. As soon as we got the alert, the CNA Finance team started digging to see exactly what was causing the movement. It didn’t take long to dig up the story. The gains seem to be the result of pricing associated with an offering that the company is making.
Early this morning, XOMA Corporation announced that it has agreed to sell 1.2 million shares of common stock and 5,003 shares of convertible preferred stock. The shares will be sold directly to Biotechnology Value Fund, LP – as well as some of its affiliates – in a registered direct offering. The offering is expected to generate $25 million at a rate of $4.03 per share.
What We’ll Be Watching For Ahead
Moving forward, the CNA Finance team will be keeping a close eye on XOMA. In particular, we’ll be watching for news with regard to how the company is putting these funds to use. We’ll keep a close eye on the news and be sure to bring it to you as it breaks!
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