Shares of Tonix Pharmaceuticals Holding Corp. (NASDAQ: TNXP) slid in Thursday’s session after the company announced the pricing of its secondary offering. It priced 5 million shares at $2, with an overallotment option for an additional 750,000. At this price the entire offering is valued up to $11.5 million. Keep in mind that the company only has a total market cap of roughly $38 million.

The underwriters for this offering are Roth Capital Partners and National Securities Corporation.

In just the past month, the company announced top-line results for its Phase 2 dose-finding clinical study of TNX-102 SL (cyclobenzaprine HCl sublingual tablets) in military-related post-traumatic stress disorder (PTSD) (AtEase Study).

The primary efficacy endpoint was the 12-week mean change from baseline in the severity of PTSD symptoms as measured by the Clinician-Administered PTSD Scale for DSM-5 (CAPS-5) between those treated with TNX-102 SL and those receiving placebo. The CAPS-5 is a standardized structured clinical interview and serves as the gold standard in research for measuring the symptom severity of PTSD.

According to the company’s release:

Tonix expects to use the net proceeds of the offering to support the continued development of TNX-102 SL (cyclobenzaprine HCl sublingual tablets) for the management of fibromyalgia, including the completion of the AFFIRM and RE-AFFIRM studies, to further develop TNX-102 SL for the treatment of post-traumatic stress disorder, to further develop our other pipeline programs, and for working capital and other general corporate purposes, and possibly acquisitions of other companies, products or technologies, though no such acquisitions are currently contemplated.

So far in 2016, the stock is down over 65%, excluding Thursday’s move. Over the past 52 weeks, the stock is down 75%.

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Shares of Tonix were down 19% at $1.99 on Thursday, with a consensus analyst price target of $10.19 and a 52-week trading range of $1.85 to $10.72.

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