Liquidia Corporation Announces $100M In New Financings; Agreed To $75M Sale Of Common Stock To Fund Affiliated With Patient Square Capital In A Private Placement; Additional Advance Of $25M From Healthcare Royalty Under Current Financing Agreement
Portfolio Pulse from Benzinga Newsdesk
Liquidia Corporation (NASDAQ:LQDA) has secured $100M in new financings, comprising a $75M private placement of common stock to a Patient Square Capital fund and a $25M advance from HealthCare Royalty. The stock sale is at an 8% discount to the prior closing price, and the advance is part of an existing agreement. These funds will support Liquidia's objectives for 2024, potentially leading to profitability with the launch of YUTREPIA for PAH and PH-ILD treatment. Liquidia has raised a total of $126M in recent financings.
January 04, 2024 | 2:15 pm
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Liquidia Corporation announced $100M in new financings, including a $75M private placement at a discount and a $25M advance from HealthCare Royalty. The funds are expected to support the launch of YUTREPIA, which could lead to profitability in 2024.
The new financings are likely to have a positive short-term impact on LQDA's stock price. The $75M private placement, despite being at a discount, provides significant capital, indicating investor confidence. The additional $25M from HealthCare Royalty strengthens the company's financial position. The potential launch of YUTREPIA, if successful, could lead to profitability, which is a strong positive signal for investors. However, the discount on the private placement and the dilutive effect of issuing new shares could temper the positive impact.
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