(Bloomberg) -- Novavax Inc., which plunged 34% Thursday after announcing a cut in Covid-19 vaccine deliveries to the UK, fell again after the drugmaker priced 6.5 million shares at $10 each and increased a debt offering.

The biotech company had planned to offer $125 million in shares and $125 million in convertible bonds. It now expects to raise $69.7 million from a stock sale, at most, and $150 million from new debt, according to a statement Friday. 

Novavax must repay the UK government $112.5 million after an agreement to supply Covid-19 vaccines was reduced, and has other cash needs that likely led to the offering, according to Max Nisen, a Bloomberg Intelligence analyst. The company was unable to raise the desired equity even at a discounted price, he said.

“The stock is down more because they sold at $10,” Nisen said. “Financing overhang remains.”

Shares of Novavax were down almost 10% to $10.20 at 12:56 p.m in New York. They closed at $11.32 on Thursday, their lowest since March 2020, and have fallen 93% this year.

The smaller-than-planned share sale and cut in the UK vaccine agreement are the latest in a series of setbacks for the company. 

Its Covid-19 vaccine was repeatedly delayed and only approved for emergency use in the US in July. More than 85% of third-quarter revenue came from Nuvaxovid vaccine for Covid-19, executives said on the most recent earnings call, with most of the rest from grants.

In total, Novavax has delivered more than 1 million doses of its Covid vaccine in the US, a fraction of the hundreds of millions by Pfizer Inc. and Moderna Inc., according to data from the Centers for Disease Control and Prevention. 

Novavax’s vaccine differs from the Pfizer and Moderna products by mimicking the protein the coronavirus uses to enter cells, instead of using mRNA technology. In its pipeline, Novavax also has shots for the flu, respiratory syncytial virus and other coronaviruses like SARS and MERS, each in various stages of clinical trials.

The company’s agreement with the UK initially called for 1 million doses and the possibility of an additional 15 million contingent on government approval, according to the filing.

Novavax said Thursday it must repay $112.5 million and will now supply only 7.5 million doses. The company has until Nov. 30 of next year to gain approval from the UK’s vaccine committee for the rest of its supply.

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