WOBURN, MA – Replimune Group, Inc., a biotechnology firm specializing in biological products, announced Monday an amendment to its existing Sales Agreement with Leerink Partners LLC, which effectively decreases the maximum aggregate offering amount from $100 million to $89 million.
According to the SEC filing dated November 25, 2024, the amendment, referred to as Amendment No. 2, adjusts the terms of the at-the-market (ATM) offering under which Replimune may sell shares of its common stock. The original agreement, established on August 3, 2023, and amended once before on May 16, 2024, allowed for the sale of shares through Leerink Partners at Replimune's discretion.
Concurrent with the amendment, Replimune has suspended the use of the ATM Prospectus. The company indicated that no further sales of shares would occur under the Sales Agreement until a new prospectus, prospectus supplement, or registration statement is filed.
In other recent news, Replimune Group Inc (NASDAQ:REPL). has proposed a public offering of $125 million in common stock and pre-funded warrants, with Leerink Partners serving as the sole bookrunning manager. The biotechnology firm has also seen significant advancements with its melanoma treatment candidate, RP1, leading to an Outperform rating by BMO Capital Markets and increased price target. Analyst firms such as H.C. Wainwright and Roth/MKM have maintained their Buy ratings on Replimune following these developments.
Replimune's RP1 has been granted a Breakthrough Therapy designation by the FDA based on its observed safety and clinical activity in the IGNYTE clinical trial's anti-PD1 failed melanoma cohort. The company is currently enrolling patients for the confirmatory Phase 3 IGNYTE-3 trial for RP1. Furthermore, Madhavan Balachandran has been appointed to its Board of Directors.
InvestingPro Insights
Replimune Group's recent amendment to its Sales Agreement reflects the company's strategic financial management, which is further illuminated by InvestingPro data and tips. As of the latest available data, Replimune holds a market capitalization of $907.22 million, indicating its significant presence in the biotechnology sector despite recent adjustments to its offering terms.
InvestingPro Tips reveal that Replimune "holds more cash than debt on its balance sheet" and "liquid assets exceed short term obligations," suggesting a solid financial foundation that could support its ongoing operations and research initiatives. This financial stability is particularly crucial given that the company is "quickly burning through cash" and is "not profitable over the last twelve months," as indicated by other InvestingPro Tips.
The company's stock performance has been notably strong, with InvestingPro data showing a 21.1% return over the last week and an impressive 154.02% return over the past six months. This positive market sentiment aligns with the InvestingPro Tip highlighting a "significant return over the last week."
For investors seeking a more comprehensive analysis, InvestingPro offers 11 additional tips for Replimune Group, providing deeper insights into the company's financial health and market position.
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