Lexicon Pharmaceuticals Inc.'s shares slid 9 percent Monday after the biopharmaceutical firm announced plans to offer $95 million of its stock to the public.
Lexicon (NASDAQ: LXRX) has granted underwriters up to $14.25 million in shares to cover any over-allotments.
The Woodlands company’s shares closed March 5 at $1.78 per share. It has 175.7 million shares outstanding.
Morgan Stanley & Co. Inc. and J.P. Morgan Securities Inc. will be acting as joint book-runners for the offering, with Cowen and Co. LLC and Thomas Weisel Partners LLC acting as co-managers.
Based on the $1.78 closing price, the company could sell as many as 61.4 million shares, including the over-allotment. That would be nearly 35 percent of its 175.7 million shares outstanding.
Shares of Lexicon were trading down 16 cents at $1.62 by Monday afternoon, after having dropped as low as $1.57 earlier in the day. The stock has traded between 89 cents and $3.78 in the past year.
•
del.icio.us
digg
facebook
E-mail this release to a friend (requires login).