Courtesy of Benzinga.
XOMA Corporation (NASDAQ: XOMA) shares are trading higher by $0.70 (16 percent) at $4.73 in Monday’s session. The issue bottomed at its higher opening tick of $4.30 and has continued to move higher.
Its current level is well above the pricing of its 25 million registered offering of common and convertible preferred stock price of $4.03. All of the shares will be sold to Biotechnology Value Fund L.P. and its affiliates in a registered direct offering.
It should be noted the issue has been a serial underperformer, which had a 1-for-20 reverse split on October 17. The reverse split was necessary to maintain the $1/share minimum bid price for continued listing on the NASDAQ exchange.
Since the reverse split took place, the issue has spent very little time at or near the closing level that day ($6.97) and did not bottom until Friday, when it shares reached $3.96.
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