Cibus announces public stock offering to fund development

Published 04/06/2025, 21:22
Cibus announces public stock offering to fund development

SAN DIEGO - Cibus Inc. (NASDAQ:CBUS), an agricultural biotechnology firm specializing in gene editing for plant traits, announced its plans for a public offering of Class A common stock. The company, currently valued at approximately $110 million, has seen its stock decline about 44% over the past year. According to InvestingPro analysis, the stock appears undervalued based on its Fair Value assessment. The offering is to be conducted by the company itself, with the board’s Chairman, Rory Riggs, expressing interest in purchasing up to $10 million of the stock or equivalents. While this interest is non-binding, InvestingPro data shows the company maintains a healthy current ratio of 1.67 and holds more cash than debt on its balance sheet, suggesting financial stability. However, this interest is non-binding and may not lead to an actual purchase.

The timing and completion of the offering are subject to market conditions, and there is no certainty about when or if it will be finalized, or its size and terms. A.G.P./Alliance Global Partners is the sole placement agent for the offering.

Cibus aims to use the proceeds to advance the development of its weed management traits in rice, and for working capital and general corporate purposes. This move comes as the company seeks longer-term financing solutions.

The offering is made under an effective shelf registration statement filed with the U.S. Securities and Exchange Commission (SEC) on June 30, 2023, and declared effective on October 27, 2023. A preliminary prospectus supplement related to the offering will be filed with the SEC.

Cibus is known for using high-throughput gene editing technology to enhance crop traits, which it then licenses to seed companies for royalties. The company’s focus is not on seed production but on technology that addresses agricultural productivity and sustainability challenges. According to the United Nations, diseases and pests cost the global economy about $300 billion annually. For deeper insights into Cibus’s financial health, growth prospects, and detailed valuation metrics, investors can access the comprehensive Pro Research Report available on InvestingPro, which covers over 1,400 US stocks with expert analysis and actionable intelligence.

The information regarding the planned public offering is based on a press release statement from Cibus.

In other recent news, Cellectis reported impressive financial results for the fourth quarter of 2024, significantly surpassing market expectations. The company posted earnings per share of -0.1566, beating the forecast of -0.1697. Revenue reached $30.59 million, far exceeding the anticipated $9.04 million. These results highlight Cellectis’s strong revenue generation capabilities and improved operational efficiency. Additionally, Cellectis has extended its cash runway to mid-2027, ensuring financial stability. The company’s strategic partnership with AstraZeneca has been a key factor in strengthening its market position, with AstraZeneca completing an additional equity investment of $140 million in Cellectis. This investment gives AstraZeneca approximately 44% of Cellectis’s share capital. Furthermore, Cellectis is focused on advancing its R&D programs, with plans to release Phase 1 data for UCART22 in the third quarter of 2025.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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