This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
TheStreet Open House

Why BG Medicine (BGMD) Is Tumbling on Thursday

Stocks in this article: BGMD

NEW YORK (TheStreet) -- BG Medicine (BGMD) is plummeting on Thursday in response to its pricing of common stock in its latest public offering.

By midday, shares had plunged 19.3% to $1.55. Trading volume of 4 million shares exceeded its three-month daily average of 2.5 million.

The cardiovascular diagnostics specialist said it would offer 6.452 million shares of its common stock to the public for $1.55 a share. The underwriter will also be granted a 30-day option to purchase up to an additional 967,800 shares to cover any over-allotments.

Net proceeds are expected to be approximately $8.9 million.

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more.

In a statement, Waltham, Mass.-based BG Medicine said it anticipates using the proceeds for operations including "advancing the commercialization of its cardiovascular diagnostic tests in the United States and Europe and developing new clinical claims and indications to expand its product pipeline."

Proceeds will be also used for other general corporate purposes, including capital expenditures, licensing of intellectual property, repayment of indebtedness and working capital.

The public offering is expected to close around April 8, subject to customary closing conditions.

Lazard Capital Markets is acting as sole book-running manager.

Must Read: Warren Buffett's 10 Favorite Growth Stocks

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more.

Check Out Our Best Services for Investors

Action Alerts PLUS

Jim Cramer and Stephanie Link reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

Jim Cramer's protégé, David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
Try it NOW
Try it NOW
Try it NOW

Check Out Our Best Services for Investors

Dividend Stock Advisor

Jim Cramer's protégé, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
Try it NOW
Try it NOW
Try it NOW
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
DOW 16,550.46 +150.79 0.92%
S&P 500 1,932.05 +28.04 1.47%
NASDAQ 4,388.8790 +72.8050 1.69%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs