Inovio Pharmaceuticals Plunges 22.43% on Public Offering Announcement

On July 3, 2025, Inovio Pharmaceuticals experienced a significant drop of 22.43% in pre-market trading.

Inovio Pharmaceuticals has announced a proposed public offering, which includes the sale of common stock or pre-funded warrants, along with accompanying Series A and Series B warrants. This offering allows the underwriter a 30-day option to purchase additional shares, which could potentially dilute the value of existing shares and impact investor sentiment.

The company's decision to offer additional shares and warrants may be seen as a strategy to raise capital for future research and development initiatives. However, such offerings often lead to a decrease in stock price due to the increased supply of shares in the market. Investors may react negatively to the dilution of their ownership stakes, contributing to the stock's decline.