Today’s premarket session has seen shares of Zai Lab Limited (NASDAQ:ZLAB) up 6.12% at $160.00. Last trading session, Zai Lab plunged -8.15% to finish at $150.77. ZLAB stock has lost -6.52% over the past five days; nonetheless, it gained 13.81% in the last month. A spike in ZLAB stock followed the announcement of the pricing of American Depositary Shares and ordinary shares.
What ZLAB says?
Research-based, commercial-stage biopharmaceutical company Zai Lab develops treatments for unmet medical needs in oncology, autoimmune conditions, infectious diseases, and more. ZLAB has therefore reached partnerships with a multitude of biopharmaceutical competition to bring forth a wide range of commercially available products and product candidates.
In a press release yesterday, Zai Lab announced the pricing of its 4,776,000 underwritten public offering of American depositary shares (ADSs).
- At a price of US$150.00 per ADS, each ADS represents one ordinary share of ZLAB.
- Additionally, ZLAB is offering 224,000 ordinary shares for HK$1164.20 per ordinary share.
- HK$7.7613 to US$1.00, the spot exchange rate for that day, will be the exchange rate used to determine the settlement value for the common stock offer.
- One ADS represents one ordinary share.
- Before deducting the underwriting discounts and commissions and other expenses that may be incurred, the gross proceeds to ZLAB are expected to range about US$750 million.
- The underwriters expect to deliver the ADS against payment to the purchasers on or about April 23, 2021, subject to customary closing conditions.
In addition, Zai Lab (ZLAB) gave the underwriters the option to purchase 716,400 additional shares at the public offering price, less underwriting discounts and commissions, which would be settled in ADS.