Senseonics Holdings Inc (SENS), a medical technology company specializing in continuous glucose monitoring (CGM) systems, saw its stock soar 5.13% in pre-market trading on Friday. This surge comes on the heels of the company's announcement of a significant public offering and a strategic investment from healthcare giant Abbott Laboratories.
Late Thursday, Senseonics priced an underwritten public offering of 100 million shares at $0.50 per share, aiming to raise $50 million in gross proceeds. The offering, expected to close on May 19, also includes a 30-day option for underwriters to purchase up to an additional 15 million shares. In a concurrent private placement, Abbott Laboratories has agreed to purchase up to $25 million worth of shares at the same price, which would result in Abbott owning approximately 5% of Senseonics.
The company intends to use the net proceeds from both transactions to fund the ongoing launch of its Eversense 365 product and continue the development of its pipeline. This capital infusion, coupled with Abbott's strategic investment, appears to have boosted investor confidence in Senseonics' future prospects. The pre-market rally suggests that market participants view this development positively, potentially seeing it as a validation of Senseonics' technology and growth potential in the competitive CGM market.
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