Altimmune plans to raise $75 million via a direct offering to bankroll its Phase 3 MASH trial, easing near-term funding risk.
- The company said on Tuesday that the net proceeds would fund its preparations for its upcoming Phase 3 trial in metabolic dysfunction-associated steatohepatitis.
- In early January, Altimmune announced the U.S. Food and Drug Administration had granted Breakthrough Therapy Designation for pemvidutide.
- On Tuesday, Barclays initiated coverage of Altimmune with an ‘Overweight’ rating and $20 price target.
Altimmune shares rose nearly 3% in after-hours trading on Tuesday and could be setting up for a sixth consecutive day of gains in the next session, following the company’s announcement of plans to raise $75 million through a direct offering to fund development of its metabolic dysfunction–associated steatohepatitis (MASH) therapy.
The company said the net proceeds will be used to support preparations for its upcoming Phase 3 clinical trial in MASH, as well as for working capital and general corporate purposes.
Altimmune’s stock is on track for its fourth straight week of gains and has surged more than 71% so far in January, recouping much of last year’s losses after the shares fell nearly 50% in 2025. Earlier this month, the company also received a boost after the U.S. Food and Drug Administration granted Breakthrough Therapy Designation to pemvidutide.
Fund Raise
Altimmune said it has entered into a securities purchase agreement with a new fundamental institutional investor for the purchase and sale of more than 17 million shares of its common stock.
The offering is expected to result in gross proceeds of approximately $75 million and was expected to close on Jan. 29. Altimmune added that it was preparing for MASH therapy’s upcoming trial and noted that pemvidutide is a balanced glucagon/GLP-1 dual agonist, which has the potential to be a highly differentiated therapy for patients with MASH.
On Tuesday, Barclays initiated coverage of Altimmune with an ‘Overweight’ rating and $20 price target, according to TheFly. Barclays said that it likes the setup for biotech stocks in 2026 and noted many of these remain undervalued. Barclays said that it expects continued mergers and acquisitions in the biotech space.
Many retail users noted that Altimmune may be positioning itself for a buyout, and that having $75 million in hand would help it say “no” to a low-ball offer.
What Is Retail Thinking?
Retail sentiment on Altimmune improved to ‘extremely bullish’ from ‘bullish’ territory a week ago, with message volumes at ‘extremely high’ levels, according to data from Stocktwits.
In the last 24 hours, the retail message volume on the stock nearly doubled on Stocktwits, and over the past year, the ticker saw a 20% spike in followers.
A bullish user on Stocktwits noted that the stock was “finally close to reward.”
Shares of Altimmune have declined 11% in the last 12 months.
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