Grail Inc. (NASDAQ:GRIL) saw its stock fall 5.5% in premarket trading on Friday after the cancer diagnostics company unveiled plans to raise as much as $300 million through a new at-the-market (ATM) offering.
In a filing with the SEC, Grail said it entered into an Equity Distribution Agreement on November 14, 2025 with Morgan Stanley and TD Securities. The arrangement gives the company flexibility to sell shares of its common stock at any time, while the designated agents will earn up to 3.0% of the gross proceeds as commission.
The fundraising plan follows the recent issuance of 3,925,767 shares to selling stockholders, a total that includes 1,927,194 common shares and 1,998,573 shares tied to the exercise of pre-funded warrants. Those issuances were made under a securities purchase agreement dated October 18, 2025.
Grail also filed a prospectus supplement on November 13, 2025 as part of its Form S-3 shelf registration. According to the filing, any shares sold under the ATM agreement must be distributed through legally permissible methods that qualify as “at the market” offerings under SEC Rule 415.
The agreement contains customary terms—such as standard representations, warranties, indemnities, and termination clauses—governing the relationship between Grail and its sales agents.