Progenity Inc. (PROG) stock prices were up by 5.15% as of the market closing on October 6th, 2021. This brought the price per share up to USD$1.43 at the end of the trading day. Subsequent premarket fluctuations have seen the stock surge by 6.29%, bringing it up to USD$1.52.
PROG Stock’s Direct Offering
October 6th, 2021 saw PROG stock announce the closing of its previously announced registered direct offering. As per the offering, the company will put up 13,333,334 shares of its common stock. Each stock will be priced at a premium to the market, with a purchase price of USD$1.50 per share. The offering is expected to generated roughly USD$20 million, before the deduction of expenses related to the offering. The company plans to allocate the net proceeds from the offering towards supporting its business operations. The capital generated will also be put towards investing in research and development with respect to the company’s diagnostic technologies and precision medicine platform. Working capital and general corporate purposes will also be funded by the offering.
The company announced on September 14th, 2021 that the United States Patent and Trademark Office (USPTO) had issued a patent to PROG stock. The patent is for the assessment of preeclampsia using assays for free and dissociated placental growth factors. The patent is related to methods, compositions, and kits for detecting and measuring free and dissociated placental growth factor (PIGF) levels in biological samples. PIGF is a standard as an important biomarker for the assessment of preeclampsia. Recent studies have unveiled the importance of determining the distinction between the free and bound forms with assessing the complex physiological pathways involved in preeclampsia.
The Preecludia test is expected to target a sizeable addressable market in the United States that has been valued at USD$3 billion annually. In combination with lab-developed test (LDT) immunodiagnostic under development, the Preecludia test has potential as an in vitro diagnostic (IVD) and point-of-care solution globally. In line with its recent strategic transformation, PROG stock is evaluating commercialization opportunities for the launch of the LDT within the United States.
Future Outlook for PROG Stock
PROG stock reported a strong quarter, consolidated by the granting of its most recent patent and registered direct offering. The company is keen to capitalize on the opportunities afforded to it as a result of recent developments. Current and potential investors are hopeful that management will be able to leverage the resources at their disposal. This is hoped to facilitate substantial organic growth over the long term.