89bio (ETNB) said late Monday it launched a public offering of $250 million in common shares or, in lieu of shares, pre-funded warrants to purchase such shares.

The company expects to grant a 30-day overallotment option to the underwriters to acquire up to $37.5 million of additional shares.

89bio plans to use the net proceeds to fund ongoing clinical activities and development of pegozafermin, among others.

The company's shares were down 2% in after-hours activity.