Why PaxMedica Stock (PXMD) Is Down Nearly 40% Today

PaxMedica, Inc. (NASDAQ:PXMD) shares are trading lower by 38% to $1.09 Monday morning. The company on Monday disclosed the pricing details for its public offering.

The offering consists of over 5 million shares of common stock and corresponding warrants for stock purchase, priced at $1.30 per share. The warrants, exercisable immediately and expiring in five years, accompany the shares.

The offering is expected to close around November 22, pending standard closing conditions. H.C. Wainwright & Co. is the exclusive placement agent for this offering, with projected gross proceeds of approximately $7.0 million before deductions for the placement agent's fees and other expenses.

PaxMedica plans to utilize the net proceeds to repay a convertible promissory note to Lind Global Fund II LP, advance development programs, and for general corporate purposes.

See Also: What's Going On With Microsoft Stock Monday?

According to data from Benzinga Pro, PXMD has a 52-week high of $69.19 and a 52-week low of $1.03.

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