Benzinga | Feb 12, 2021 09:47AM EST

Corvus Pharma Shares Drop After $30M Equity Raise At 11% Discount

* Corvus Pharmaceuticals Inc (NASDAQ: CRVS) priced the underwritten public offering of 8.6 million shares at $3.50 per share, for gross proceeds of $30 million. The offer price is at a discount of 11% from the last close price of 3.94 on Thursday.

* Underwriters have an option to purchase up to an additional 1.3 million shares. The offering is expected to close by February 17.

* Cantor Fitzgerald & Co. and H.C. Wainwright & Co. are acting as joint book-running managers for the offering.

* Corvus expects to use the net proceeds to fund its Phase 3 trial of CPI-006 and develop its other product candidates, working capital, and general corporate purposes.

* Last week, the company commenced the Phase 3 trial of CPI-006 for patients with COVID-19. The study is expected to enroll ~1,000 patients, with results expected by the end of this year.

* Price Action: CRVS is down 9.9% at $3.55 on the last check Friday.