ORIC Pharmaceuticals Announces $125 Mln Private Placement, Stock Up In Pre-market

(RTTNews) - ORIC Pharmaceuticals, Inc. (ORIC), a clinical-stage oncology company, Monday announced that it has agreed to sell around 12.5 million common shares worth $125 million to a group of institutional and accredited healthcare specialist investors in a private placement.

The transaction is expected to close on January 23.

Following this news, ORIC shares are trading up around 10% in pre-market activity.

As per the agreement terms, ORIC's common stock will be sold at $10 per share, representing a premium of 10 percent to its five-day trailing average price.

The company intends to use the net proceeds to fund its research, develop its clinical-stage programs, and for general corporate purposes.

The private placement will include new and existing institutional investors, such as Viking Global Investors, Commodore Capital, Frazier Life Sciences, Venrock Healthcare Capital Partners, NEA, and Nextech.

In pre-market activity, ORIC Pharmaceuticals shares are trading at $10.96, up 9.38% on the Nasdaq.