Viking Therapeutics takes advantage of soaring stock price to issue fresh shares at a discount

Viking Therapeutics Inc.
VKTX,
+11.11%,
the clinical-stage biotech that wowed investors this week with promising data from a mid-stage trial of its weight-loss drug, is bolstering its balance sheet by issuing new shares. The company, whose stock has gained an impressive 152.5% in the week so far, priced a $550 million offering of 6.47 million shares at $85 a share late Wednesday, a discount over its closing price of $94.50. Proceeds will be used for continued development of the weight-loss treatment VK2735 and NASH drug VK0214 and for R&D, working capital and general corporate purposes. The stock was down 5% early Thursday.