Stocks In News: WIX, CDE, ALLK
2:43 pm Monday, September 19th, 2022
Apparently not letting dour economic news hinder opportunities, activist investor Starboard Value LP built a 9% stake in website development platform Wix (NASDAQ:WIX), prompting WIX stock to gain double digits on Monday. According to Reuters, “Starboard had been building the stake, and spoke to Wix about how it can improve operations.” The news couldn’t have come at a better time for stakeholders of WIX stock. Per the news agency, the web platform “has been struggling with losses since the fourth quarter of 2021 amid a slowdown in e-commerce driven by rampant inflation and people making fewer purchases online in the wake of the COVID-19 pandemic. It has adopted a three-year cost-cutting program in a bid to boost its ailing stock price.”
Today, Coeur Mining (NYSE:CDE) is one of the big winners in an otherwise down market. At the time of writing, CDE stock soared 12% as investors price in an announced $200 million asset sale for the company’s Nevada gold projects. This deal between Coeur and AngloGold Ashanti (NYSE:AU) stipulates $150 million in up-front cash. Additionally, a $50 million payout will be received if further exploration determines this mine has at least 3.5 million ounces of gold reserves.
On Monday, biotechnology firm Allakos (NASDAQ:ALLK) announced a public offering that raised gross proceeds of approximately $150 million, sending ALLK stock soaring 25% in the morning session before paring back modestly heading into the early afternoon hours. Specifically, the company — which focuses on developing lirentelimab (AK002) and AK006 for the treatment of allergic and inflammatory diseases — announced the pricing of an underwritten offering of 29,882,000 shares of its common stock at an offering price of $5.02 per share. Several institutional investors agreed to purchase shares in the offering.
