Why Morphic Holding Stock Is Falling Today
After more than doubling on Monday, Morphic Holding's (NASDAQ: MORF) shares are taking a beating on Tuesday. As of 11:10 a.m. EST, the biopharmaceutical company's stock is down by 13.6%. There are two likely explanations for Morphic Holding's losses on the stock market today. First, it could be that some investors are choosing to cash in on their shares following yesterday's furious rally. Second, the drugmaker announced a proposed public offering of common stock.
After the close of Monday's trading session, Morphic Holding announced that it would offer $200 million of shares of its common stock in a public offering. The company also said that it would grant underwriters a 30-day option to acquire $30 million in additional shares. The drugmaker intends to use the proceeds from the transaction to fund the clinical development of its pipeline candidates.
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Source Fool.com
