Fans of All Ordinaries Index (ASX: XAO) biotechnology share Mesoblast Ltd (ASX: MSB) may have been on tenterhooks today. The company entered a trading halt shortly after the market opened, citing "a proposed placement of securities to targeted investors".
But the short, roughly 30-minute window in which Mesoblast shares traded today saw the market bidding them lower. The company's share price is halted at 99 cents – 1% lower than it closed Wednesday's session.
For comparison, the ASX All Ords is up 0.04% at the time of writing.
Let's take a closer look at what's happening (or not happening) with Mesoblast shares on Thursday.
Mesoblast in trading halt amid placement
The Mesoblast share price isn't going anywhere this afternoon as the company seemingly undergoes a capital raise.
Of course, that's likely left investors itching for more information. And they might be kept waiting.
The company has requested that the trading halt continue until the market opens on Monday unless it releases another announcement sooner.
The last time the market was given a chance to delve into the company's balance sheet was in late February.
Then, it revealed it had US$67.6 million of cash on hand and the option to draw an additional US$40 million from existing financing facilities subject to certain milestones.
It also used US$16.5 million of cash in operating activities in the second quarter of financial year 2023, posting a US$24.5 million post-tax loss for the period.
The last time Mesoblast underwent a placement was in August 2022. Then, it raised US$45 million by offering new shares for 75 cents apiece to major shareholders.
Mesoblast share price snapshot
The Mesoblast share price has had a wild ride in recent months.
The stock reached a high of $1.33 in February, a 118% recovery from its June 2022 low of 61 cents.
It's currently 14% higher than it was at the start of 2023. Though, it's fallen 13% since this time last year.
Meanwhile, the All Ords has gained 6% year to date and is down 4% over the last 12 months.
