SQZ Biotechnologies Under Pressure After $60M Equity Raise At 9% Discount

SQZ Biotechnologies Co (NYSE: SQZ) prices its underwritten public offering of 3 million common shares at $20 per share. Underwriters have an option to purchase up to an additional 450,000 shares.
The offer price represents a discount of 9% on the last close of $22 on Thursday. The offering is expected to close on February 17.
BofA Securities, Evercore ISI, and Stifel are acting as joint book-running managers for the offering. BTIG is acting as the lead manager for the offering.
The FDA recently signed off the company's Investigational New Drug application for SQZ Activating Antigen Carriers in HPV+ tumors. The trial will investigate SQZ-AAC-HPV, a cell therapy candidate generated from red blood cells engineered with tumor-specific antigens. This trial marks the first clinical program from the company's SQZ AAC platform.
Price Action: SQZ stock dropped 17.7% at $18.12 in the market trading hours on the last check Friday.