GALECTO INC. DL-,00001

Galecto shares fell 6.8% in premarket trading to $20.05 after the biopharma company placed about 14.5 million shares at $19 (an 11.7% discount), raising $275 million. Net proceeds are intended to fund preclinical and clinical studies, manufacturing of antibody programs, and research and development. Jefferies, Leerink, Evercore and Guggenheim are joint bookrunners. At the same time, CEO Hans T. Schambye resigned; COO Sherwin Sattarzadeh was named interim CEO. » Más en de.investing.com

Galecto is selling 14,473,685 common shares at $19.00 per share and expects gross proceeds of about $275 million; the offering price is below the current market price of $21.52. The syndicate banks were granted a 30-day option to purchase up to 2,171,052 additional shares, and closing is expected around Feb. 12. The biopharmaceutical company is not currently profitable but, according to data, has a strong liquidity position and has filed an automatically effective shelf registration statement with the SEC. » Más en de.investing.com

Hans T. Schambye has stepped down with immediate effect as chief executive officer and president and has left the board of directors; the resignation is not believed to be due to disagreements with Galecto. Schambye will receive contractually provided severance payments, including continued salary, a prorated bonus and accelerated vesting of outstanding equity awards in exchange for signing a separation agreement. The board appointed COO Sherwin Sattarzadeh as interim CEO. At an extraordinary general meeting, shareholders approved the conversion of certain preferred shares into common shares, an increase in authorized common shares to 500,000,000, the relocation of the company’s domicile from Delaware to the Cayman Islands, as well as a new equity incentive plan and an employee stock purchase plan; after the automatic conversion of the Series C preferreds, the issued common share count is approximately 43.6 million. » Más en de.investing.com