Switzerland-based biotechnology company Molecular Partners resumed preparations for its initial public offering yesterday, issuing 4.4 million shares priced at CHF 22.40 ($23.24) and raising $102.3m.
Molecular, which is backed by investors including Johnson & Johnson Development Corporation, the corporate venturing unit for pharmaceutical firm Johnson & Johnson, postponed the offering on October 21st citing unfavourable conditions in a market that has recently been packed with biotech IPOs.
However, a recent upturn, combined with investor support and an uncertain IPO horizon led to the company pricing the offering below its initial range of CHF 28-35.
Christian Zahnd, chief executive of Molecular, told Reuters he was “very comfortable with the price, explaining: “There is a certain level of uncertainty where the markets will be six or nine months from now.
“And so we clearly said, if there’s the possibility to go out we should do it, as the most important thing for us is to build the basis for the successful long-term development of the company.”
Molecular is developing treatments based on a new class of small protein therapies called DARPins it believes can better treat complex diseases such as cancer.
The company had raised CHF 64.5m across two rounds in 2007 and 2009 respectively. In addition to JJDC, its investors include Endeavour Vision, BB Biotech Ventures, Index Ventures and Essex Woodlands Health Ventures.