Benzinga | Jul 14, 2021 07:08AM EDT

Allena Pharma Stock Under Pressure After Equity Raise Of $28M

* Allena Pharmaceuticals Inc (NASDAQ:ALNA) has announced a registered direct offering of 21.3 million shares and warrants to purchase up to 10.7 million shares at $1.311.

* With gross proceeds of $28 million, the offering will close by July 16.

* H.C. Wainwright & Co. is acting as the exclusive placement agent for the offering.

* The warrants have an exercise price of $1.25 per share, are exercisable immediately, and have a term of five years.

* The Company intends to use the proceeds for working capital and general corporate purposes.

* Earlier this week, the Company provided updates on its ALLN-346 and reloxaliase (ALLN-177) clinical programs.

* For reloxaliase, it preponed interim analysis to 1Q of 2022 from 2Q/3Q of 2022.

* It is on track to report initial results from Phase 2a of ALLN-346 by the end of 2021.

* Price Action: ALNA shares are down 18.75 at $1.13 during the premarket session on the last check Wednesday.