The share price of Savara Inc (SVRA) declined in the normal trading session and extended-hours trading on Wednesday 10 March 2021 after the company made an important announcement. In the after-hours session stock price declined by 12.85%.
The company announced the proposed public offering of common stock on Wednesday which affect its share price in the market. In the announcement company said that company intends to offer and sell, subject to market conditions, shares of its common stock in an underwritten public offering. The company is also offering to some investors to purchase pre-funded warrants instead of common stock. Still, there is no other details are available. The company wants to generate some revenue and looking to use that money for clinical development, manufacturing, regulatory, and commercial activities related to its molgramostim nebulizer solution (molgramostim, formerly referred to as Molgradex) in autoimmune pulmonary alveolar proteinosis (aPAP) program and the IMPALA 2 trial, and general and administrative expenses. The company will also offer 15% additional shares to the underwriters within thirty days.
For this offering, joint book-running managers will be Jefferies LLC and Piper Sandler. Oppenheimer & Co. Inc. is acting as the lead manager and H.C. Wainwright & Co., LLC is acting as co-manager for the offering.
Recent news about the company
The company provided pipeline and business update to its investors and clients on December 10, 2020. The company appointed Matt Pauls as chairman and permanent CEO from Chairman and interim CEO. The Savara announced Phase 3 AVAIL Trial and stopping further development of AeroVanc. The company said they have reduced the Operating Expenses to Align with Streamlined development programs. The company discontinued the development of the Apulmiq Program and now focusing entirely on Molgradex in APAP. The company also revising the study and starting guidance for IMPALA 2 clinical trial in Q2 2021.
Savara Inc. operates as a clinical-stage pharmaceutical company. The Company focuses on the development of novel therapies for the treatment of serious and life-threatening rare respiratory diseases. The company’s lead program, Molgradex, is an inhaled granulocyte-macrophage colony-stimulating factor (GM-CSF) in Phase 3 development for autoimmune pulmonary alveolar proteinosis (aPAP)
Matthew Pauls is the current CEO and chairman of the company and he has been with the company since 2017 as a member of the board. He carries more than 25 years of experience with him in the biopharmaceutical field. He has also held senior management roles at Bristol-Myers Squibb and Johnson & Johnson and holds B.S. and M.B.A. degrees from Central Michigan University.