Madrigal looks to raise $200M after NASH data

Madrigal Pharmaceuticals Inc. (NASDAQ:MDGL) proposed postmarket Tuesday to raise $200 million on the back of non-alcoholic steatohepatitis data that saw the stock gain 145% last Thursday.

The data showed MGL-3196 led to significant improvements vs. placebo in disease activity and disease resolution at week 36 in a Phase II trial to treat liver biopsy-confirmed NASH (see BioCentury Extra, May 31).

The stock is up $192.60 (178%) to $301.03 since May 30. Goldman Sachs is underwriting the follow-on, in which existing stockholders are also offering up to 363,625 shares.