Switzerland-based biopharmaceutical company Auris Medical set the range on Monday for its forthcoming initial public offering on Nasdaq at between $10 and $12 per share.
The company plans to issue 6.9 million shares, which would place the projected proceeds from the IPO at between $69m and $83.8m. If it were to float at the midpoint of the range Auris would have a fully diluted market value of $285m.
Shareholders in Auris include Idinvest Partners, the venture capital fund backed by insurance firm Allianz, which holds a 9.1% stake that will be diluted to 6.7% after the offering.
Other notable shareholders include venture capital firms Sofinnova Ventures and Sofinnova Capital, two separate entities, which hold shares sized at 19.3% and 18.6% respectively, and financial services firm ZKB, which owns an 11.4% stake.
Auris, which is developing treatments for inner ear disorders, will invest up to $80m of the proceeds to fund research and development expenses for two of its product candidates up to the conclusion of results from Phase 3 clinical trials.
A further $5m to $6m will be earmarked for other R&D activities. Underwriters Jeffries, Leerink, JFP Securities and Needham & Company will have the option to buy a further 1 million shares, which could increase the proceeds from the offering to more than $96m.
Founded in 2003, Auris raised CHF 58.1m ($64.4m) in equity funding across two rounds in 2008 and 2011.