Did You Make The Most Of These Secondary Offerings?

(RTTNews) - Secondary offering is one way of raising additional capital by a publicly traded company. Usually, the stock price drops immediately if a company files for a secondary offering. This pullback presents a good buying opportunity in some cases.

Listed below are some of the biotech stocks that have given decent returns after a pullback related to the secondary offering.

Intrexon Corp. (XON) is a biotechnology company focused on synthetic biology, an emerging and rapidly evolving discipline that applies engineering principles to biological systems.

The company has a suite of proprietary and complementary synthetic biology technologies for the creation of complex biologically engineered molecules, which finds use in healthcare, food, energy and environmental sciences. The business model involves commercializing technologies through exclusive channel collaborations, or ECCs, with collaborators that have industry expertise.

Over the years, Intrexon has significantly grown its revenue - recording $8 million in 2011, $13.77 million in 2012, $23.76 million in 2013 and $40.8 million in the nine months ended September 30, 2014. Revenue is derived through the execution of ECCs for the development and commercialization of products enabled by the company's technologies.

Intrexon priced its public offering of 3.75 million shares at $27.00 each on January 22, 2015. The offering, which closed on January 27, 2015, raked in total gross proceeds of roughly $116.4 million.

The stock closed Friday's (February 13, 2015) trading at $39.30, and that represents a gain of 37.8% from the opening price of $28.51 on January 23, 2015.

Vital Therapies Inc. (VTL) is a biotherapeutic company developing a cell-based system for the treatment of acute liver failure.

The company's lead product candidate is ELAD, a bio- artificial liver support system that operates outside the body, for the treatment for alcohol-induced liver decompensation.

ELAD System is under a phase III trial, dubbed VTI-208, and preliminary results from this trial are expected in the first half of 2015.

Vital Therapies went public on the NASDAQ Global Market on April 17, 2014 offering its shares at a price of $12.00 each. On October 2, 2014, Vital Therapies priced its follow-on public offering of 2 million shares of its common stock at $17.50 each.

VTL touched a high of $26.90 on December 22, 2014, and that represents a gain of 55.8% from the opening price of $17.26 on October 3, 2014.

Portola Pharmaceuticals Inc. (PTLA) is a biopharmaceutical company focussed in the fields of thrombosis and other hematologic diseases.

The company has two product candidates under late-stage testing - Betrixaban, an oral Factor Xa anticoagulant, and Andexanet Alfa, a novel antidote to the anticoagulant effects of fXA inhibitors, and one compound under phase I trial namely Cerdulatinib, an oral, dual Syk/JAK kinase inhibitor for hematologic cancers.

Earlier this year, the company announced that its phase III study evaluating the safety and efficacy of Andexanet alfa with the Factor Xa inhibitor XARELTO met its primary endpoint with high statistical significance. A single-arm phase 4 study to support the approval of Andexanet alfa by the FDA under an Accelerated Approval pathway was initiated last month.

Portola priced its public offering of 6.2 million shares of its common stock at $26 each on October 2, 2014.

PTLA touched a new high of $34.97 on Friday (February 13, 2015), which represents a gain of nearly 33% from the opening price of $26.30 on October 3, 2014.

Avanir Pharmaceuticals Inc. is a biopharmaceutical company focussed on developing drugs for central nervous system disorders of high unmet medical need.

The company offered to sell 18.2 million shares of its common stock to the public at a price of $11 each on September 23, 2014.

On December 2, 2014, Avanir agreed to be acquired by Otsuka Pharmaceutical Co., Ltd., a unit of Japan's Otsuka Holdings Co., Ltd., for $17 per share in cash. The deal price per share represented a gain of 46.8% from the opening price of $11.58 on September 24, 2014.

Aratana Therapeutics Inc. (PETX) is a pet therapeutics company. There are more than 15 novel therapeutics in the company's development pipeline that aim to provide a new beginning for pets with serious medical conditions.

The company priced its offering of 4.5 million shares of its common stock to the public at $9.25 each on September 17, 2014. The stock touched a high of $19.53 on January 13, 2015, and that represents a gain of 93% from the opening price of $10.10 on September 18, 2014.

Aratana anticipates receiving a full license for its drug candidate AT-005 as an aid in the treatment of canine T-cell lymphoma in 2015. It was granted a conditional license from the USDA in January 2014.

Insmed Inc. (INSM) is a biopharmaceutical company focussed on developing drugs for serious lung diseases.

The company's lead candidate is ARIKAYCE, or liposomal amikacin for inhalation, for at least two identified orphan patient populations - patients with nontuberculous mycobacteria (NTM) lung infections and cystic fibrosis (CF) patients with Pseudomonas aeruginosa lung infections.

Insmed is proceeding with a phase III confirmatory study of ARIKAYCE for patients with nontuberculous mycobacterial (NTM) lung infections who failed prior standard of care treatment. Preliminary top-line clinical results from this study are anticipated in 2016.

On August 12, 2014, the company priced its offering of 8.9 million shares of common stock at $11.25 each. The stock closed Friday's (February 13, 2015) trading at $17.40, and that represents a gain of 43% from the opening price of $12.15 on August 13, 2014.

Did the above biotech secondary offerings catch your eyes when they were announced?

Watch this space for more such interesting buying opportunities.