Allakos (ALLK) Stock: Why It Surged Over 30% Today

By Amit Chowdhry ● Sep 19, 2022
  • The stock price of Allakos (ALLK) surged by over 30% intraday today. This is why.

The stock price of Allakos (ALLK) surged by over 30% intraday today.

Why: Allakos – a biotechnology company developing lirentelimab (AK002) and AK006 for the treatment of allergic and inflammatory diseases – announced the pricing of an underwritten offering of 29,882,000 shares of its common stock at an offering price of $5.02 per share. 

Investors agreeing to purchase shares: Investors who have agreed to purchase shares in the offering include Logos Capital, Alta Partners, Braidwell LP, BVF Partners L.P., Commodore Capital, Deep Track Capital, Frazier Life Sciences, New Enterprise Associates (NEA), RTW Investments, L.P., Surveyor Capital (a Citadel Company), TCGX, and Vivo Capital. 

Gross proceeds: Before deducting the underwriting discounts and commissions and estimated offering expenses, the company expects to receive total gross proceeds of approximately $150 million. All of the shares are to be sold by the company. The offering is expected to close on or about September 21, 2022, subject to satisfaction of customary closing conditions.

Managers: Jefferies is acting as the lead book-running manager and Cowen and LifeSci Capital are acting as joint book-running managers for the offering.