Avalo Therapeutics, Inc. filed a Form 8-K on November 5, 2026, disclosing the entry into a new at-the-market equity offering agreement with Jefferies LLC and the simultaneous termination of its prior sales agreement with TD Securities (USA) LLC.

Key Highlights

  • New ATM agreement: Avalo Therapeutics entered into an Open Market Sale Agreement with Jefferies LLC on November 5, 2026, allowing the company to sell shares from time to time at its sole discretion.
  • Maximum offering size: The prospectus supplement filed November 5, 2026 covers an aggregate offering price of up to $200,000,000.
  • Commission rate: The company will pay Jefferies a commission of up to 3.0 percent (3.0%) of the gross proceeds of any shares sold under the agreement.
  • Registration Statement: Shares will be sold pursuant to Form S-3 (File No. 333-292614), filed January 8, 2026 and declared effective January 20, 2026.
  • Prior agreement terminated: The TD Cowen Sales Agreement, dated June 5, 2025, was terminated effective immediately on November 5, 2026, after TD Securities (USA) LLC acknowledged and accepted the company's prior written notice.
  • No obligation to sell: According to the filing, the company is not obligated to sell any shares, and Jefferies is not required to sell any specific number or dollar amount.

Avalo Therapeutics Replaces TD Cowen ATM Facility with Jefferies Agreement

According to the filing, Avalo Therapeutics (NASDAQ:AVTX) entered into the Open Market Sale Agreement with Jefferies LLC on November 5, 2026, establishing an at-the-market offering program under which the company may issue and sell shares of its common stock, $0.001 par value per share, through Jefferies. The filing states that any sales may be made by any method permitted by law deemed to be "an at the market offering" as defined in Rule 415(a)(4) of the Securities Act of 1933, including directly on the Nasdaq Capital Market.

The company disclosed that Jefferies will use commercially reasonable efforts to sell shares on the company's behalf consistent with its normal sales practices, based upon instructions from the company, including any price, time, or size limits or other customary parameters the company may impose. The company will pay Jefferies a commission of up to 3.0% of gross proceeds. The filing notes that Avalo has also provided Jefferies with customary indemnification and contribution rights. Goodwin Procter LLP issued a legal opinion, dated November 5, 2026, relating to the validity of the shares to be issued and sold.

Concurrent with the new arrangement, the filing reports that TD Securities (USA) LLC acknowledged and accepted the company's prior written notice to terminate its Sales Agreement dated June 5, 2025, effective immediately on November 5, 2026. Following that termination, the company disclosed it may not offer or sell any additional shares under the TD Cowen Sales Agreement or the related prospectus supplement dated June 5, 2025. The filing was signed by Christopher Sullivan, Chief Financial Officer of Avalo Therapeutics, Inc.

What Was Disclosed

Avalo Therapeutics disclosed the entry into a new at-the-market offering agreement with Jefferies LLC covering up to $200,000,000 in common stock, and the termination of its prior at-the-market sales agreement with TD Securities (USA) LLC, both effective November 5, 2026.