Avalo Therapeutics has put a new share-sale program in place that could raise up to $200 million, while ending a similar arrangement with TD Securities. The new program gives the biotechnology company the option to sell common stock through Jefferies over time; it does not require Avalo to sell shares or guarantee that it will raise any particular amount.
Key details
- Avalo may sell up to $200 million of common stock through Jefferies in market transactions, including sales on Nasdaq.
- The company controls whether and when to sell, and can set parameters such as price, timing and size. Jefferies will use commercially reasonable efforts to carry out requested sales.
- Avalo will pay Jefferies a commission of up to 3% of gross proceeds from shares sold.
- Either party may suspend or end the new arrangement, subject to its terms.
- The new program took effect on November 5, 2026. On the same date, TD Securities accepted Avalo’s notice ending their prior sales agreement, effective immediately. Avalo can no longer sell shares under that old agreement or its related prospectus supplement.
What changes for investors
The arrangement gives Avalo a potential source of financing through common-stock sales, but no proceeds are assured: the company is not obligated to sell shares, and the announcement does not say that any shares have been sold. If Avalo does use the program, issuing new shares would dilute existing shareholders’ ownership, and commissions would reduce the net proceeds.