Tesaro Inc. stock drops 11% after announcing public offering at $135 per share

Tesaro Inc. shares dropped 11.5% to $131.70 per share in morning trade Tuesday after the company said its public offering of 1.75 million shares would be priced at $135 per share. Tesaro said it expects the offering to close around Nov. 18 and provide net proceeds of about $224.1 million. Tesaro also said it will grant underwriters an option to purchase 262,500 additional common stock shares. Citigroup, Leerink Partners, Credit Suisse and Wells Fargo Securities are acting as bookrunners, and Baird, FBR, Guggenheim Securities, Raymond James, SunTrust Robinson Humphrey, and Wedbush PacGrow are acting as co-managers for the offering, the company said. Tesaro shares rose 151.1% year-to-date, compared with a 6.1% rise in the S&P 500 .

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