AspenBio Pharma (APPY) Hurt On Share Pricing
October 7, 2009 · Filed Under General
AspenBio Pharma (AAPY) announced an it has priced a public offering of 4,482,609 shares of its common stock at $1.70 per share. The approximately $7.2 million of net proceeds, after deducting the underwriting discounts and commissions and estimated offering expenses, will be used for product development, FDA 510(k) submission related activities, general corporate purposes, and working capital. The offering is expected to close on or about October 13, 2009, subject to the satisfaction of customary closing conditions.
ThinkEquity did a poor job pricing the deal. The shares closed at $2.15 yesterday and now trade at $1.87, down 13%. APPY should have found another banker.
Douglas A. McIntyre
