Vaxart, Inc. (NASDAQ: VXRT) experienced a dramatic afterhours surge on Thursday, with its stock price soaring by an impressive 60%. Despite a quiet trading day where the stock dipped a mere 1%, closing at $0.75, the afterhours rally brought VXRT up to $1.20. This remarkable increase followed a flurry of significant announcements from the company, driving investor interest and volume.

Surge in Vaxart Trade Volume

The surge in Vaxart's stock price was accompanied by a substantial increase in trade volume. Over 7 million shares changed hands, far exceeding the average daily volume of around 1 million shares. This heightened activity was largely driven by Vaxart's announcement of a $40 million offering of common stock.

The company plans to issue 50 million shares at $0.80 per share, a premium to the closing price, with Oppenheimer & Co. acting as the sole bookrunner. The offering is expected to close on or about June 17, 2024, pending customary closing conditions.

Major Funding Boost for Vaxart

In addition to the stock offering, Vaxart revealed it had secured a substantial project award worth up to $453 million through the Rapid Response Partnership Vehicle (RRPV). Funded by the Biomedical Advanced Research and Development Authority (BARDA), this award supports a Phase 2b comparative study evaluating Vaxart's oral COVID-19 vaccine against an FDA-approved mRNA vaccine. An initial $65.7 million is available immediately, with the remaining $387.2 million contingent upon further agreement to proceed.

Vaxart's proprietary oral vaccine platform, which uses pills that can be stored and shipped without refrigeration, positions the company to create innovative solutions for vaccine delivery. The upcoming trial will enroll approximately 10,000 participants to assess the vaccine's efficacy and safety compared to traditional mRNA vaccines.

Conclusion

Vaxart's recent announcements have significantly boosted investor confidence and trading activity, leading to a substantial afterhours price surge. The combination of a new stock offering and a major federal award positions Vaxart for continued advancements in its oral vaccine technology, particularly in the fight against COVID-19.

As the company prepares for its Phase 2b trial, the potential for its oral vaccines to transform global vaccination practices remains a focal point for investors and the medical community alike.