Indication intelligence, analysis and sector perception

RegMed investors (RMi) Research Note: Agenus (AGEN) possible offering of 1.95 million share

January 2, 2023 2:18pm

S-3 filed also includes 1.3 million warrants

AGEN closed up on 12/30/22 at +$0.09 or +3.90% to $2.40 with an aftermarket (Friday) indication of -$0.02 or -0.83%

Filed thinking NO one would see it on Christmas Eve … filed on 12/24/22?

Link of S-3ASR: https://investor.agenusbio.com/node/19616/html

The Bottom Line:

I like the company and its CEO - a company should always be raising money yet, transparency is better served NOT hiding the share price shrinking filing.

Is it a seconday offering or a shelf for the future?

In this economy and market - "if the window is OPEN - jump through" - it could be a tough 2023 after the offering freeze of 2022!

Metrics:

294,948,117 issued and outstanding as of September 30, 2022,

Float: 250.94 million shares

Cash: $218.23 million

Debt: $79.17 million

Short percentage (%) of float: 6.88%

Shares short: 19.93 million

Shares held by Institutions: 59.62%

On November 30, 2022, AGEN entered into an Amendment to Notes, Termination of Warrants and Sale of New Warrants with existing noteholders, pursuant to which the Company

(i) extended the maturity date of the 2015 Notes by two years from February 20, 2023 to February 20, 2025,

(ii) (ii) terminated each of the 2015 Warrants and 2020 Warrants, (iii) issued the New Warrants, consisting of (x) warrants exercisable for 1,300,000 shares of common stock expiring on February 20, 2026 and (y) warrants exercisable for 650,000 shares of common stock expiring on February 20, 2028. Each of the New Warrants has an exercise price of $2.84 per share, which represented a 15% premium over the 30-day average trailing closing price of the Company’s common stock for the period ending November 9, 2022.

35 companies, 1 interpreter!

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