NEW YORK (TheStreet) -- Rockwell Medical (RMTI) shares are down 4% to $10.15 in after hours trading on Monday after the hemodialysis concentrate solutions and dialysis kit manufacturer proposed a public offering of $55 million worth of its common stock.
Bank of America/Merrill Lynch will act as the sole book-runner for the deal though the company has not made any assurances as to when or whether the offering will be completed. The company is proposing to raise money ahead of the FDA's decision on its iron deficiency anemia in ESRD patients treatment Triferic, a decision that is expected in January.
The company met analysts' EPS estimates when it reported a third quarter loss of 10 cents per diluted share last week, in line with consensus expectations, on revenue of $13.7 million that was slightly ahead of the $13.5 million analysts were anticipating.
Must Read: Warren Buffett's 25 Favorite Stocks
TheStreet Ratings team rates ROCKWELL MEDICAL INC as a Sell with a ratings score of D-. TheStreet Ratings Team has this to say about their recommendation:
"We rate ROCKWELL MEDICAL INC (RMTI) a SELL. This is driven by a number of negative factors, which we believe should have a greater impact than any strengths, and could make it more difficult for investors to achieve positive results compared to most of the stocks we cover. The company's weaknesses can be seen in multiple areas, such as its poor profit margins and generally disappointing historical performance in the stock itself."