Two biotech companies had to slash their prices to go public this
week, while two more companies filed registration statements for initial
public offerings as investors continue to be risk-averse. Antibiotic
developer Trius Therapeutics slashed its expected share price by 62
percent and raised the number of shares offered to complete its
offering. Trius went public on Monday on the Nasdaq exchange under the
symbol TSRX, selling 10 million shares at $5 per share to raise $50 million.
Trius originally planned to sell 6 million shares at $12 to $14 but investors were unwilling to bite. The San Diego biotech plans to begin a late stage trial to evaluate torezolid, its lead next-generation antibiotic, against Pfizer’s Zyvox linezolid to treat acute bacterial skin and skin structure infections [see story].
Specialty pharmaceutical NuPathe completed its initial offering to begin trading on the Nasdaq Global Market on Friday under the symbol PATH. The drug developer raised $50 million, trimming its offering price to $10 from its hoped for $14 to $16 range, but keeping the number of shares offered to the original 5 million. Underwriters have a 30-day option to purchase up to an additional 750,000 shares of common stock from NuPathe to cover over-allotments, if any. Leerink Swann and Lazard Capital Markets were the lead underwriters.
To read the full, original article click on this link: Two IPOs Brave the Markets, Two Enter the Queue: Biotech's Latest Deals -- Seeking Alpha
Author: Marie Daghlian
