Nuvation Bio Shares Sink Premarket With Plans for Convertible Notes Offering

By Robb M. Stewart

Nuvation Bio's shares retreated after the oncology company said it planed sell $200 million in convertible bonds.

In premarket trading, the shares were down 12% at $5.70. As of the last close, the stock had risen 47% over the last three months.

Nuvation said Thursday it intends to sell convertible senior notes due in 2032 in an underwritten offering. It also plans to offer the underwriters the right to buy up to an additional $30 million of the notes to cover any over-allotments.

The notes will be general unsecured obligations of Nuvation, with any interest payable semiannually in arrears and will mature on July 1, 2032. The interest rate, initial rate to convert to shares and other terms will be determined at the time the offering is priced, the company said.

Nuvation said proceeds from the offering will be used to pay the cost of the capped call transactions and to repay in full all obligations under its senior secured loan agreement. The capped call transactions will cover the number of class A shares initially underlying the notes, which can reduce the potential dilution to stock with any conversion of notes.

Write to Robb M. Stewart at robb.stewart@wsj.com

(END) Dow Jones Newswires

June 25, 2026 08:06 ET (12:06 GMT)