Arena Pharma Shares Retreat Slightly On Secondary Share Offering

By Wallace WitkowskiMarketsMarketWatch Pulse

Arena Pharmaceuticals Inc. shares retreated slightly in the extended session Tuesday following a big run-up after the biotech company proposed a secondary offering of its shares. Arena shares declined 1.4% to $25.63 after hours, following a 41% jump during the regular session on positive results from a hypertension-drug study. Following the close, the company said it planned to sell $150 million in shares with underwriters getting an additional $22.5 million to cover over-allotments. Leerink, which raised its price target on Arena to $53 from $47 on Tuesday, along with Citigroup, Cantor Fitzgerald and UBS are acting as joint book-running managers for the offering.

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