SAN DIEGO, CA - Cibus Inc., an agriculture chemicals company, has announced the partial exercise of an underwriters' option in connection with its recent public offering. The representatives of the underwriters, Roth Capital Partners and A.G.P./Alliance Global Partners (NYSE:GLP), have exercised their option to purchase an additional 289,953 shares of Cibus's Class A common stock at a price of $4.00 per share.
This exercise is part of a 45-day option granted to the underwriters during Cibus's public offering of 3,000,000 shares. The underwriters' option initially allowed for the purchase of up to 450,000 additional shares. The partial exercise of the option by the underwriters brings in additional capital for the company, following the public offering that was made pursuant to a prospectus supplement and related prospectus filed with the Securities and Exchange Commission (SEC).
The prospectus supplement related to the offering was filed with the SEC on September 19, 2024, under the company's shelf registration statement on Form S-3. The additional shares were made available on September 20, 2024, following the notification from the underwriters to Cibus Inc.
Cibus Inc., previously known as Calyxt (NASDAQ:CLXT) Inc., is incorporated in Delaware and has its executive offices located in San Diego, California. The company's Class A common stock is traded on The Nasdaq Stock Market LLC under the ticker symbol NASDAQ:CBUS.
The legal opinion regarding the validity of the newly issued shares was provided by Jones Day, which is also included as an exhibit in the SEC filing. This move by the underwriters indicates a level of confidence in Cibus's performance and prospects.
This information is based on a SEC filing and serves to inform shareholders and the public of the latest corporate developments at Cibus Inc.
In other recent news, Cibus has seen a series of significant developments. The company recently announced a public offering to raise $12 million, with the funds earmarked for seed trait development and general corporate purposes. This move prompted Canaccord Genuity to adjust its price target for Cibus to $20, down from the previous $21, while maintaining a Buy rating for the stock.
Cibus is making strides in advancing its late-stage activities, particularly the launch of its first three traits in crop programs. The company reported an increase in R&D expenses and a higher net loss compared to the previous year, while maintaining a cash balance of $30 million.
In terms of personnel, Cibus announced that its CFO, Wade King, will take an indefinite leave of absence for family reasons. In his stead, Carlo Broos, the Senior Vice President of Finance, will assume the interim CFO role. Despite these changes, Cibus continues to make strategic moves to enter new markets and form partnerships.
These are recent developments, and as always, investors are advised to base their decisions on their own research and the advice of their financial advisors.
InvestingPro Insights
As Cibus Inc. navigates through its recent public offering and the partial exercise of the underwriters' option, real-time data from InvestingPro provides a deeper look into the company's financial health. With a market capitalization of $102.58 million, Cibus Inc. is trading at a significant discount to the InvestingPro Fair Value estimate of $6.07, which suggests potential upside from the current price of $4.00 per share.
Despite an impressive revenue growth of over 816% in the last twelve months as of Q2 2024, analysts remain cautious, given the company's rapid cash burn and lack of profitability within the same period. The stock's volatility is also noteworthy, with a 1-week price total return showing a decline of 22.33%.
InvestingPro Tips highlight that Cibus operates with a moderate level of debt and does not pay a dividend, which could be of interest to growth-focused investors rather than those seeking income. Moreover, the stock's recent performance has been challenging, with significant drops over the last week, month, three months, and six months. For investors considering Cibus Inc., these insights are crucial for understanding the risks and potential rewards associated with the stock. For further guidance, there are 11 additional InvestingPro Tips available at Investing.com/pro/CBUS.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.