Shifting demand

As investors seem sated by the IPO buffet, demand has shifted to PIPEs and follow-ons for later-stage publicly held companies. Nine NASDAQ-listed biotechs raised more than $1 billion in six PIPE deals and three follow-ons last week. Two of the follow-ons - OSI (OSIP, $374.5 million) and Cima (CIMA, $147.5 million) - were bumped up in size, and all three and priced near their filing prices.

OSIP sold 5.25 million shares at $70, after the drug discovery company upped the deal by 850,000 shares. The stock fell $0.375 while on the road, but rebounded strongly to close Friday at $83.25, up $11.735 (16 percent) on the week.

OSIP's offering is the fifth largest follow-on since 1994. Genomics play Celera (CRA) holds the top spot with its $983.3 million deal sold in March. Human Genome Sciences (HGSI) is in second place after selling its greenshoe last week, bringing its October follow-on proceeds to $948.8 million. Industrial genomics company Millennium (MLNM) is third at $797.8 million; and antibody play Abgenix (ABGX) is fourth at $521.6 million. No surprise - all of the top five deals priced in 2000.

CIMA, which occupies the drug delivery space, sold 2.95 million shares at $50, 450,000 shares more than it had planned. CIMA did slip $5.625 (10 percent) while marketing the deal, but popped $14 (27 percent) to $66.375 on 2.3 million shares on Thursday after pricing the deal, and closed the week at $64.50, up $5.438.

Rounding out the trio, cardiovascular company Corvas (CVAS) raised $100 million through the sale of 5 million shares at $20. The price was $2.50 below its Sept. 29 filing price, but

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