LB Pharmaceuticals shares rise 12.99% after-hours after announcing $100M private placement to fund LB-102 Phase 2 trial and operations.

LB Pharmaceuticals surged 12.99% in after-hours trading following the announcement of a $100 million private placement to fund a Phase 2 trial for its lead candidate, LB-102, as an adjunctive treatment for major depressive disorder. The offering included 3.3 million shares and pre-funded warrants to raise up to 1.4 million additional shares, priced at $21.17 and $21.1699, respectively, with participation from major institutional investors. The proceeds will also support working capital and general corporate needs, while a registration rights agreement enhances investor liquidity by enabling resale of the issued shares. The news reinforced confidence in the company’s pipeline progress and financial stability, directly aligning with the stock’s post-market rally.