Corvus Pharmaceuticals' stock plummeted 5.18% during intraday trading on Friday, driven by news of an expanded stock sale program.

The biotech company amended its sales agreement with Jefferies to sell up to $200 million of common stock, doubling the previous $100 million limit established in 2024. The amended agreement allows Corvus to sell shares through various methods, including private placements and block trades, with Jefferies entitled to a commission of up to 3% on gross sales.

This significant increase in potential share issuance raised investor concerns about dilution and future selling pressure, leading to the stock's decline. The company had not sold any shares under the prior agreement, according to regulatory filings.