Celyad Oncology Stock Jumps 35% On $32.5 Mln Private Placement

Shares of Celyad Oncology SA (CYAD) jumped over 35% on Friday morning after the clinical-stage biotechnology company said it raised $32.5 million in a private placement with Fortress Investment Group.

CYAD is currently trading at $4.98, up $1.34 or 36.81%, on the Nasdaq.

Celyad said it has entered into a subscription agreement with an affiliate of Fortress Investment Group for the private placement of 6.5 million ordinary shares for gross proceeds of $32.5 million.

The company will issue the ordinary shares at $5.00 per share, which represents a 18.5% premium to the 30-day volume weighted average price.

The company intends to use the proceeds to fund research and development expenses, including the clinical development of its allogeneic CAR T candidates CYAD-101 and CYAD-211, to advance the current pipeline of preclinical CAR T candidates, to discover and develop additional preclinical product candidates using its proprietary non-gene edited short hairpin RNA technology platform, as well as for working capital, other general corporate purposes, and the enhancement of the Company's intellectual property.

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