Milestone Pharmaceuticals Plunges 24.22% on Public Offering News

On July 11, 2025, Milestone Pharmaceuticals experienced a significant drop of 24.22% in pre-market trading, reflecting investor concerns and market reactions to recent developments.

Milestone Pharmaceuticals has announced a proposed public offering aimed at raising funds for the clinical development and commercial launch of etripamil, a treatment for paroxysmal supraventricular tachycardia (PSVT). The offering includes common shares, warrants, and pre-funded warrants for certain investors, highlighting the company's strategic efforts to secure financial resources for its key product.

The FDA has accepted Milestone's response to the Complete Response Letter (CRL) for CARDAMYST (etripamil) nasal spray, setting a new PDUFA date of December 13, 2025. This regulatory progress is crucial for the potential approval of etripamil, which is designed as a self-administered nasal spray for acute PSVT episodes. The FDA's acceptance indicates that the clinical data remains satisfactory, with no concerns raised regarding efficacy and safety.

Milestone has also extended its $75 million Royalty Purchase Agreement with RTW Investments through December 31, 2025. This extension aligns with the new PDUFA date and provides essential funding for the commercial launch of CARDAMYST upon FDA approval. The agreement demonstrates investor confidence in the eventual approval and commercialization of etripamil, ensuring a clear path to market entry.