ARTICLE | Finance

Zeal for Zealand

Zealand hopes diabetes story produces largest European IPO in 2010

November 8, 2010 8:00 AM UTC

Two weeks after Europe's largest biotech underwriter, Piper Jaffray, decided to stop selling securities in the region, Zealand Pharma A/S has proposed what would be the largest biotech IPO in Europe this year and the third largest worldwide in 2010. The company's recipe is straightforward: offer investors a late-stage, partnered product in a big indication - in this case diabetes - with the potential for the IPO to be the last time the company taps the markets for money.

Zealand hopes to raise about DKK671.3 million ($125.8 million) through the sale of up to 7.8 million shares at DKK86-DKK120 in an IPO on the Copenhagen Stock Exchange and a private placement. If sold at the midpoint of DKK103, Zealand would be valued at DKK2.7 billion ($497.9 million) based on 25.8 million shares outstanding...