CytRx Corporation (NASDAQ:CYTR) shares were down 15.02% on Thursday as the company announced a proposed public offering of common stock.
CytRx Corporation (NASDAQ:CYTR) shares were down 15.02% on Thursday to $0.685 and an additional 7.65% in after-hours trading to $0.632. The company has a market cap of $75.70 million at 117.32 million shares outstanding. Share prices have been trading in a 52-week range of $0.36 to $3.46.
CytRx Corporation is a biopharmaceutical research and development company specializing in oncology. It is focused on the clinical development of aldoxorubicin, its modified version of the chemotherapeutic agent, doxorubicin. It is engaged in Phase III trials for aldoxorubicin as a therapy for patients with soft tissue sarcoma (STS) whose tumors have progressed after treatment with chemotherapy.
The company is also involved in evaluating aldoxorubicin in a Phase IIb clinical trial in small cell lung cancer; a Phase II clinical trial in human immunodeficiency virus-related Kaposi’s sarcoma; a Phase II clinical trial in patients with late-stage glioblastoma (brain cancer); a Phase Ib trial in combination with ifosfamide in patients with STS, and a Phase Ib trial in combination with gemcitabine in subjects with metastatic solid tumors. It is engaged in the pre-clinical development for DK049, an anti-cancer drug conjugate that utilizes its Linker Activated Drug Release (LADR) technology.
Earlier this month, CytRx Corporation announced that an abstract describing results from its global Phase 3 clinical trial evaluating aldoxorubicin versus investigators’ choice in patients with relapsed and refractory soft tissue sarcomashas been selected for an oral presentation at the 2017 American Society of Clinical Oncology in June.
We look forward to presenting the more detailed and updated global Phase 3 results to the medical community at ASCO this year,” said Daniel Levitt, M.D., Ph.D., Chief Operating Officer and Chief Medical Officer of CytRx Corporation. “The Phase 3 trial and the combination trial of aldoxorubicin with ifosfamide continue to build on our prior studies showing the utility of aldoxorubicin as a treatment for patients with STS. These trials, together with our other clinical and pre-clinical studies of aldoxorubicin, will support our planned New Drug Application submission.”
However, the gains were quickly faded when CytRx Corporation recently announced a proposed public offering of its common stock that is subject to market conditions. The company plans to use the proceeds for working capital and general corporate purposes, including clinical and regulatory activities, new drug discovery activities, and possible future strategic transactions.
Also, there an be no assurance as to whether or when the offering may be consummated, or as to the actual size or terms of the offering. H.C. Wainwright & Co. is acting as exclusive placement agent for the offering.
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