The market reacted sharply to the pricing, with shares falling to $5.06 in early trading, representing a significant discount compared to the offering price. Candel expects the transaction to close on or about Monday, pending customary conditions. Additionally, underwriters have been granted a 30-day option to purchase up to 2.8 million additional shares at the public offering price.

Capital Allocation and Commercialization Strategy

The company intends to deploy the $100 million in gross proceeds toward the commercial infrastructure for its lead candidate, aglatimagene besadenovec. This includes critical launch readiness, medical affairs, and pre-commercialization activities. Beyond commercial efforts, the funds will support research and development, according to the company.

A portion of the capital will cover ongoing costs for the Phase 3 trial of aglatimagene in patients with non-small cell lung cancer, alongside general corporate purposes. The offering comes as the company moves toward the final stages of clinical development for its primary oncology programs.