What happened

Shares of Onconova Therapeutics (ONTX 2.12%) surged 23.8% on Wednesday, bringing the biopharmaceutical company's year-to-date gains to an impressive 245%.  

So what

Onconova announced after the market close on Tuesday that it raised $28.75 million via a stock offering. The biotech sold 28.75 million shares at a price of $1.00 per share. The proceeds from the stock sale should help to shore up Onconova's balance sheet and give it more of the cash it needs to fund its cancer-treatment development programs. 

A person is pointing to an upwardly sloping line.

Onconova Therapeutics' stock price rose sharply on Wednesday. Image source: Getty Images.

Investors are also awaiting news from the 2021 BIO CEO & Investor Digital Conference, which began on Feb. 16 and is scheduled to end on Feb. 18. Onconova CEO Steven Fruchtman is presenting at the conference, while Senior Vice President Avi Oler will be conducting meetings with potential development and investment partners. Onconova said it would make Fruchtman's presentation available on its website on Feb. 19. 

Now what 

Onconova is dedicated to developing new treatments for people with cancer. Its efforts are focused on disrupting key cellular pathways that play a role in cancer cell growth. Its treatment candidates are currently in early-stage trials. 

Onconova is operating in a potentially massive market that is also intensely competitive. Thus, its stock is a relatively risky investment, albeit one with considerable upside potential.