EyePoint announces $175 million stock offering following record surge in share price

EyePoint Pharmaceuticals Inc.
EYPT,
+177.46%
announced Monday afternoon that it has begun an underwritten public offering of $175 million in common stock. The company will also give underwriters the chance to purchase up to an additional $26.25 million of stock at the offering price, for 30 days, less an underwriting discount. The offering comes after EyePoint shares surged 177% in Monday’s regular session following its announcement of upbeat data for its macular degeneration treatment EYP-1901. That was the stock’s largest one-day percentage gain on record. EyePoint shares are up a further 6% in after-hours trading. The company said in a release that it would use the net proceeds from the stock offering to advance EYP-1901’s clinical development “through the initiation of and reporting of topline data from two pivotal Phase 3 clinical trials.” EyePoint will also use proceeds to support earlier-stage pipeline-development efforts.