MoonLake Immunotherapeutics (NASDAQ:MLTX) saw its stock decline roughly 8% on Wednesday following the announcement of a public offering designed to raise approximately $200 million in gross proceeds.
The clinical-stage biotech priced 9,000,000 Class A ordinary shares at $20.00 per share. In addition, it made available pre-funded warrants exercisable for up to 1,000,000 Class A ordinary shares at $19.9999 per warrant to certain investors. The company said the expected gross proceeds are about $200 million before the deduction of underwriting discounts and commissions.
Under terms of the offering, MoonLake has given the underwriters a 30-day option to purchase up to an additional 1,500,000 Class A ordinary shares at the public offering price, less underwriting discounts. The company indicated the transaction is expected to close on or about June 25, 2026, subject to customary conditions to closing.
MoonLake stated that net proceeds from the sale, together with its existing cash, cash equivalents and marketable securities, will be applied to research and development, pre-commercialization and commercialization activities related to sonelokimab, if that product receives approval, and for general corporate purposes.
The offering is being managed by a group of investment banks. Leerink Partners, Guggenheim Securities, Cantor and LifeSci Capital are serving as joint bookrunning managers, while H.C. Wainwright & Co. and Clear Street are acting as lead managers.
MoonLake is focused on sonelokimab, an investigational Nanobody intended for the treatment of inflammatory conditions. The company lists hidradenitis suppurativa, psoriatic arthritis, axial spondyloarthritis and palmoplantar pustulosis among the indications it is pursuing. MoonLake is headquartered in Zug, Switzerland.
Context and market reaction
The company’s decision to proceed with the offering and the specific pricing details coincided with an intraday share price move downward of about 8% on Wednesday. The offering structure includes both registered shares and pre-funded warrants allocated to certain investors, along with a standard underwriter option to increase the size of the issuance within 30 days.
How the proceeds will be used
MoonLake specified that proceeds will support the continued development and potential commercialization of sonelokimab, as well as general corporate uses. The company tied the use of funds explicitly to research, development, pre-commercialization efforts and commercialization activities contingent on regulatory approval for sonelokimab.