Having a look at the premarket action is almost always a good idea since it gives an indication about the direction of the market. One of the stocks to have moved strongly in premarket trading period today is that of the precision medicine company Avalo Therapeutics Inc (NASDAQ:AVTX).
There was no news about the company yesterday but it might be a good move to take a look at an announcement from Avalo earlier on this week on September 14. At the time the company announced it signed an underwriting agreement with RBC Capital Markets LLC and Jeffries LLC.
As per the agreement both Jeffries and RBC Capital Markets are going to purchase as many as 12,500,000 shares of the company’s common stock on a firm commitment basis.
The shares are going to be picked up through a public offering and are going to be priced at $2.20 each. In this context, it is important to point out that the offering is going to be closed today and that is a factor that might bring the stock into focus among investors. Hence, it remains to be seen if the Avalo stock can continue to maintain its premarket momentum through the rest of the day.
