What To Know:

Crinetics Pharmaceuticals announced on Sunday that paltusotine, its investigational compound, achieved positive results and met the primary endpoint and all secondary endpoints of the Phase 3 PATHFNDR-1 study. 

Shares of CRNX gained more than 50% on Monday as investors reacted to the positive results.

After the market close on Monday, Crinetics announced that it will sell $250 million of shares of its common stock in an underwritten public offering. The company will also grant the underwriters a 30-day option to purchase up to an additional $37.5 million of shares of common stock.

Crinetics stated that it intends to use the net proceeds from the offering to fund the development of paltusotine, CRN04894 and its other research and development programs, as well as for working capital and general corporate purposes.

Shares of CRNX are moving higher on heavy trading volume. According to Benzinga Pro, more than 3.2 million shares have already been traded in the session, compared to the stock's 100-day average of just over 875 thousand shares.

Related News: What's Going On With Aurora Cannabis Stock

CRNX Price Action: According to Benzinga Pro, Crinetics shares are up % at $ at the time of publication.

Image: Vacho from Pixabay