Why TELA Bio Stock Is Dropping Today

TELA Bio TELA shares are trading lower after the company priced a 4.75 million share offering at $9.50 per share.

What Happened: On Tuesday after market closure, TELA Bio announced a public offering of common stock, the offering was priced at $9.50 per share for a total proceed of $45.125 million, before deducting underwriting discounts, commission, and other estimated offering expenses. TELA Bio previously closed at $10.60, indicating a discount of ~10.4% from the agreed-upon share price.

Additionally, TELA has granted the option to purchase up to an additional 712,500 shares of its common stock at the public offering price. The company intends to use the net proceeds for general corporate purposes, and the offering is expected to close on or about April 21, 2023 barring any unforeseen closing conditions.

TELA Bio, Inc. is a commercial-stage medical technology company focused on providing innovative technologies that optimize clinical outcomes by prioritizing the preservation and restoration of the patient's own anatomy.

According to data from Benzinga Pro, TELA Bio shares were down 12.4%, trading at $9.31 at the time of publication. The stock has a 52-week high of $13.18 and a 52-week low of $5.15.