Equillium Raises $30M Via Equity, Shares Rally

Equillium Inc (NASDAQ: EQ) has entered into a securities purchase agreement with Decheng Capital to purchase around 4.3 million units from Equillium at $7 per unit, equivalent to gross proceeds of $30 million. EQ's closing price as of Wednesday was $6.62 per share.
Each unit consists of one common stock and a warrant to purchase 0.3 of common stock. The five-year warrants will have an exercise price of $14 per share.
Net proceeds will be used to primarily fund the development of the itolizumab pipeline, potential acquisitions and development of new products, and for working capital and general corporate purposes.
The direct offering is expected to close by February 5.
Price Action: EQ shares are trading higher by 19.2% at $7.90 on the last check Thursday.