Israel's RedHill Biopharma Ltd. priced an offering of 4,166,667 American depositary shares at $6 per ADS.
Each of RedHill Biopharma's ADSs represents 10 ordinary shares, the company said in an Aug. 9 news release.
The company expects gross proceeds of about $25 million from the offering, which is expected to close Aug. 14.
RedHill Biopharma intends to use the net proceeds from the offering to fund phase 3 studies for its Crohn's disease treatment, RHB-104, as well as antibiotic RHB-204.
Ladenburg Thalmann & Co. Inc. is acting as the sole book-running manager for the offering.
Funds will also be used for commercial operations, including the launch of a drug for stomach infection called Talicia as well as acquisitions and general corporate purposes.