ALX Oncology Announces Pricing of Underwritten Offering

Rhea-AI Summary

ALX Oncology (Nasdaq: ALXO) priced an underwritten offering to sell 76,979,112 shares of common stock and pre-funded warrants for 18,574,120 shares at $1.57 per share (pre-funded warrant price $1.569).

The offering is expected to close on or about Feb 2, 2026, with gross proceeds of approximately $150 million before expenses. Net proceeds are to fund continued clinical development of evorpacept and the ALX2004 program and for general corporate purposes.

Positive

• Gross proceeds of approximately $150 million
• Proceeds earmarked to fund evorpacept and ALX2004 clinical development
• Led by institutional investors including RA Capital and TCGX

Negative

• Issuance of 76,979,112 shares and pre-funded warrants for 18,574,120 shares may cause significant dilution
• Offering price of $1.57 equals prior close, potentially signaling limited pricing upside

Key Figures

Common shares offered: 76,979,112 shares Pre-funded warrants: 18,574,120 warrants Common share price: $1.57 per share +5 more

8 metrics

Common shares offered 76,979,112 shares Underwritten offering size

Pre-funded warrants 18,574,120 warrants Pre-funded warrants in lieu of common stock

Common share price $1.57 per share Offering price equals Jan 29, 2026 close

Pre-funded warrant price $1.569 per warrant Per-warrant price reflecting $0.001 exercise price

Warrant exercise price $0.001 per share Exercise price for each pre-funded warrant

Gross proceeds $150 million Expected gross proceeds before fees and warrant exercise

Preliminary year-end cash $48.3 million Estimated cash and investments as of Dec 31, 2025 (8-K)

Q3 2025 cash $66.5 million Cash, equivalents and investments, funding into Q1 2027

Market Reality Check

Price: $1.74 Vol: Volume 550,353 is 2.2× th...

high vol

$1.74 Last Close

Volume Volume 550,353 is 2.2× the 20-day average of 250,107, indicating elevated pre-offering activity. high

Technical Price at $1.57 is trading above the 200-day MA of $1.02 and 30.84% below the 52-week high of $2.27.

Peers on Argus

ALXO gained 14.6% while closely ranked biotech peers showed mixed moves: notable...

ALXO gained 14.6% while closely ranked biotech peers showed mixed moves: notable decliners like ARTV (-6.32%) and INKT (-3.89%), alongside modest movers such as APLT (+4.95%) and CUE (+0.5%). This pattern points to stock-specific dynamics around the offering rather than a broad sector rotation.

Historical Context

5 past events · Latest: Jan 08 (Neutral)

Pattern 5 events

Date	Event	Sentiment	Move	Catalyst
Jan 08	Conference presentation	Neutral	+5.1%	J.P. Morgan Healthcare Conference presentation and webcast details.
Jan 08	Clinical trial update	Positive	+5.1%	Advancement of evorpacept Phase 2 ASPEN-09 and ALX2004 Phase 1 cohorts.
Dec 07	Clinical trial data	Positive	+1.4%	Positive Phase 2 evorpacept combo data in indolent B-cell lymphoma at ASH.
Nov 18	Investor conferences	Neutral	+4.5%	Announcements of fireside chats at Jefferies and Piper Sandler conferences.
Nov 07	Earnings & update	Positive	+16.9%	Q3 2025 results with strong ASPEN-06 data and cash runway into Q1 2027.

Pattern Detected

Recent news, especially clinical and earnings updates for evorpacept and ALX2004, has frequently coincided with positive next-day price moves for ALXO.

Recent Company History

Over the last few months, ALX Oncology has repeatedly highlighted clinical and corporate progress. A Q3 2025 update on Nov 7, 2025 featured strong exploratory ASPEN-06 data and cash of $66.5 million funding operations into Q1 2027, with a 16.95% price gain. Positive Phase 2 lymphoma data at ASH on Dec 7, 2025 and subsequent breast cancer and ALX2004 trial milestones in early Jan 2026 also saw shares rise. Against this backdrop of clinically driven strength, the current financing expands capital to support evorpacept and ALX2004 development.

Market Pulse Summary

This announcement prices a sizable underwritten offering of 76,979,112 shares and 18,574,120 pre-fun...

Analysis

This announcement prices a sizable underwritten offering of 76,979,112 shares and 18,574,120 pre-funded warrants, raising expected gross proceeds of about $150 million at $1.57/$1.569. The company plans to fund continued development of evorpacept and ALX2004 and general corporate needs, supplementing preliminary year-end cash of $48.3 million. Recent clinical milestones and prior cash runway into Q1 2027 frame this raise as a key step in financing ongoing trials and operations.

Key Terms

underwritten offering, pre-funded warrants, exercise price, shelf registration statement, +1 more

5 terms

underwritten offering financial

"today announced the pricing of an underwritten offering of common stock and pre-funded warrants."

An underwritten offering is when a bank or group of banks agrees to buy all of a company's new shares or bonds and then resell them to outside investors, guaranteeing the company will raise a specific amount of money. It matters to investors because it adds certainty that the funding will close while increasing the number of shares or debt in the market, which can lower the price per share and change each existing owner's ownership percentage—think of a wholesaler buying an entire shipment from a maker before it reaches stores.

pre-funded warrants financial

"and, in lieu of common stock to certain investors, pre-funded warrants to purchase 18,574,120 shares"

Pre-funded warrants are financial instruments that give investors the right to purchase a company's stock at a set price, but with most or all of the purchase price paid upfront. They function like a coupon or gift card for stock, allowing investors to buy shares later at a fixed price, which can be beneficial if they want to avoid future price increases. This makes them important for investors seeking flexibility and certainty in their investment plans.

exercise price financial

"less the $0.001 per share exercise price for each pre-funded warrant."

The exercise price is the fixed amount at which you can buy or sell an asset, like a stock, when using an options contract. It matters because it helps determine whether exercising the option will be profitable or not, depending on the current market price. Think of it as the set price you agree on today to buy or sell later.

shelf registration statement regulatory

"pursuant to a shelf registration statement previously filed with and declared effective by the Securities"

A shelf registration statement is a document a company files with regulators that allows it to sell shares or bonds quickly when it’s a good time to raise money. It’s like having a pre-approved plan ready so the company can act fast without going through lengthy paperwork each time they want to sell, making fundraising more flexible.

prospectus supplement regulatory

"A prospectus supplement related to the offering will be filed with the SEC"

A prospectus supplement is an additional document provided alongside a company's main offering details, offering updated or extra information about a specific financial product being sold. It helps investors understand the latest terms, risks, and details of the investment, similar to how an update or revision clarifies or expands on original instructions, ensuring they have current and complete information before making a decision.

AI-generated analysis. Not financial advice.

SOUTH SAN FRANCISCO, Calif., Jan. 30, 2026 (GLOBE NEWSWIRE) -- ALX Oncology Holdings Inc. (“ALX Oncology,” Nasdaq: ALXO), a clinical-stage biotechnology company advancing a pipeline of novel therapies designed to treat cancer and extend patients’ lives, today announced the pricing of an underwritten offering of common stock and pre-funded warrants. ALX Oncology is selling 76,979,112 shares of common stock and, in lieu of common stock to certain investors, pre-funded warrants to purchase 18,574,120 shares of common stock in the offering. The shares of common stock are being sold at an offering price of $1.57 per share, the closing price on January 29, 2026, and the pre-funded warrants are being sold at an offering price of $1.569 per pre-funded warrant, which represents the per share offering price for each share of common stock less the $0.001 per share exercise price for each pre-funded warrant. The gross proceeds to ALX Oncology from this offering are expected to be approximately $150 million, before deducting the underwriting discounts and commissions and other estimated offering expenses, and excluding the exercise of any pre-funded warrants. All shares of common stock and pre-funded warrants to be sold in the offering are being offered by ALX Oncology. The offering is expected to close on or about February 2, 2026, subject to the satisfaction of customary closing conditions.

The financing is being led by new investors RA Capital Management and TCGX, with participation from additional new and existing investors, including 5AM Ventures, Blackstone Multi-Asset Investing, Coastlands Capital, Driehaus Capital Management, HBM Healthcare Investments, Marshall Wace, OrbiMed, Redmile Group, venBio Partners and Vivo Capital, among others.

ALX Oncology anticipates using the net proceeds from the offering to fund the continued clinical development of evorpacept and its ALX2004 program and the related clinical trials, and for working capital and other general corporate purposes.

Piper Sandler, UBS Investment Bank, and Wells Fargo Securities are acting as joint lead book-running managers for the offering.

The securities described above are being offered by ALX Oncology pursuant to a shelf registration statement previously filed with and declared effective by the Securities and Exchange Commission (the “SEC”). A prospectus supplement related to the offering will be filed with the SEC and will be available on the SEC’s website at www.sec.gov. Copies of the prospectus supplement and the accompanying prospectus relating to this offering may be obtained, when available, from: Piper Sandler & Co., 350 North 5th Street, Suite 1000, Minneapolis, MN 55401, Attention: Prospectus Department, by telephone at (800) 747-3924, or by email at prospectus@psc.com; UBS Securities LLC, Attention: Prospectus Department, 11 Madison Avenue, New York, NY 10010, or by email at ol-prospectus-request@ubs.com; or Wells Fargo Securities, LLC, Attention: Wells Fargo Securities, 90 South 7th Street, 5th Floor, Minneapolis, MN 55402, by telephone at 800-645-3751 (option #5) or by email at WFScustomerservice@wellsfargo.com.

This press release shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of these securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.

About ALX Oncology

ALX Oncology (Nasdaq: ALXO) is a clinical-stage biotechnology company advancing a pipeline of novel therapies designed to treat cancer and extend patients’ lives. ALX Oncology’s lead therapeutic candidate, evorpacept, has demonstrated potential to serve as a cornerstone therapy upon which the future of immuno-oncology can be built. Evorpacept is currently being evaluated across multiple ongoing clinical trials in a wide range of cancer indications. ALX Oncology’s second pipeline candidate, ALX2004, is a novel EGFR-targeted antibody-drug conjugate with a differentiated mechanism of action. A Phase 1 dose-escalation trial of ALX2004 is ongoing in patients with EGFR-expressing solid tumors.

Cautionary Note Regarding Forward-Looking Statements

This announcement contains forward-looking statements, including statements relating to ALX Oncology’s expectations regarding the anticipated use of proceeds, and the completion of the offering. These statements are subject to significant risks and uncertainties and actual results could differ materially from those projected. ALX Oncology cautions investors not to place undue reliance on the forward-looking statements contained in this release. These risks and uncertainties include, without limitation, risks and uncertainties related to market conditions, and the satisfaction of customary closing conditions related to the offering. There can be no assurance that ALX Oncology will be able to complete the offering. These and other risks are described more fully in ALX Oncology’s filings with the Securities and Exchange Commission (“SEC”), including ALX Oncology’s Annual Reports on Form 10-K, Quarterly Reports on Form 10-Q and other documents ALX Oncology files with the SEC from time to time. Except to the extent required by law, ALX Oncology undertakes no obligation to update such statements to reflect events that occur or circumstances that exist after the date on which they were made.

Investor Contact:
Elhan Webb, CFA, IR Consultant
ewebb@alxoncology.com

Media Contact:
Michele Parisi, SparkPoint Healthcare Communications
mparisi@sparkpointpr.com
(925) 864-5028

FAQ

How much capital is ALX Oncology (ALXO) raising in the January 2026 offering?

ALX Oncology expects gross proceeds of approximately $150 million. According to the company, that figure is before underwriting discounts, commissions and estimated offering expenses, and excludes any exercise of pre-funded warrants.

What securities is ALX Oncology (ALXO) selling in the offering and at what price?

ALX Oncology is selling 76,979,112 common shares and pre-funded warrants for 18,574,120 shares at $1.57 per share. According to the company, pre-funded warrants are priced at $1.569 each.

When is the ALX Oncology (ALXO) offering expected to close and who are the lead managers?

The offering is expected to close on or about February 2, 2026. According to the company, Piper Sandler, UBS Investment Bank, and Wells Fargo Securities are joint lead book‑running managers.

How will ALX Oncology (ALXO) use the net proceeds from the offering?

ALX Oncology intends to use net proceeds to fund clinical development of evorpacept and the ALX2004 program and for working capital and general corporate purposes. According to the company, these are the primary uses.

Which investors are participating in ALX Oncology's (ALXO) January 2026 financing?

The financing is led by new investors RA Capital and TCGX, with participation from 5AM Ventures, Blackstone Multi‑Asset Investing, OrbiMed and others. According to the company, both new and existing investors joined the offering.