PolarityTE Inc (NASDAQ:COOL) announced Wednesday it's raising cash through a public stock offering.
The commercial-stage biotech company said in a release that the money will be used to spur product research and development, as well as for product regulation and approval purposes.
Investors sent shares tumbling more than 10% to US$16.34 in Thursday trading on dilution concerns.
PolarityTE develops products that use a patient’s own cells to regenerate tissue instead of synthetic materials.
More than 2 million shares will be made available at US$16 per share. The company expects to raise as much as US$32.5mln from the sale.
Underwriters have a 30-day option to purchase an additional 15% of common stock shares.