while its traded volume totaled over 181 thousand shares for the day. Judging by these facts, apparently the traders showed some interest in NGSX.The most recent news on NeurogesX stated that it has filed with the Securities and Exchange Commission for a $75 million mixed shelf offering. According to this announcement, the company may use the net proceeds to repay or repurchase its debt, as well as for licensing or acquiring intellectual property, funding investments and partnerships.[BANNER]
On the announcement of that news, the stock started to climb up to trade at $5.80, though it seems that the high move was cut off today.
NeurogesX Inc is a biopharmaceutical company focused on developing and commercializing pain management therapies. Historical data shows that the stock has traded higher over the past six months, however, two months ago its price started to move down.
In its latest quarterly report, NGSX stated that the company has funded its operations primarily by selling equity securities, establishing debt facilities and through a collaboration agreement with Astellas. Though, NeurogesX has suffered significant losses and expects the losses to continue.
At the end of April, the company entered into a $40 million financing agreement with Cowen Royalty. This agreement created a debt obligation that will be repaid through and secured by royalties and future milestone payments by Astellas. NGSX believes that it has sufficient capital to complete its business plan for at least the next twelve months. However, the company expects that its overall research and development expenses may increase by the next year.
So, the only thing left fot investors is to keep observing the NGSX stock movement as its present market position doesn’t look much stable.
