Why Deciphera Pharmaceuticals Stock Is Nosediving

Deciphera Pharmaceuticals Inc DCPH shares are trading lower by 10.48% to $18.45 Thursday morning after the company announced a $125 million proposed public offering of common stock.

In addition, Deciphera intends to grant the underwriters a 30-day option to purchase up to an additional $18,750,000 of shares of common stock offered in the public offering.

Deciphera says the company intends to use the net proceeds from the offering to fund its planned Phase 3 INSIGHT study of QINLOCK^® versus sunitinib in second-line GIST patients with mutations in KIT exon 11 and 17/18 only, among many other strategies.

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According to data from Benzinga Pro, DCPH has a 52-week high of $22.76 and a 52-week low of $6.51.