Why Aurinia Pharmaceuticals Stock Crashed in After-Hours Trading on Friday
Shares of Aurinia Pharmaceuticals (NASDAQ: AUPH) fell by 18.1% in after-hours trading Friday. The drugmaker's stock tanked in response to a $250 million mixed shelf offering.
The accompanying prospectus filed with the Securities and Exchange Commission noted that the proceeds of any stock sales under this offering would be used for clinical development and commercial production of the company's Food and Drug Administration approved lupus nephritis (LN) medication Lupkynis. It would advance its pipeline, business development opportunities, capital expenditures, and working capital.
At the end of the third quarter, Aurinia had a cash runway of approximately six to perhaps eight quarters, depending on the commercial trajectory of Lupkynis, as well as the company's clinical development plans.
Source Fool.com
