AAA TiGenix aims for $57.5m to stem from IPO

TiGenix aims for $57.5m to stem from IPO

TiGenix, a Belgium-based biopharmaceutical company that counts gene therapy company Gri-Cel as its largest shareholder, has filed for a $57.5m initial public offering in the US.

The IPO proceeds will be used to prepare for the commercialisation of Cx601, an injectable allogeneic stem cell therapy TiGenix is developing to combat Crohn’s disease that is currently in phase 3 trials.

Additional capital will go to completing a technology transfer to contract manufacturer Lonza to support a phase 3 trial for Cx601 in the US. TiGenix also plans to advance clinical development of treatments for severe sepsis and acute myocardial infarction.

Founded in 2000, TiGenix raised €46m ($50m) when it floated on Euronext in 2007.

Gri-Cel owns almost 34.2 million shares in TiGenix, equating to a 19.3% stake. A Gri-Cel affiliate bought €25m of convertible bonds due 2018 in March 2015, and if converted those bonds would consist of about 26.6 million additional shares.

Novartis Bioventures, a corporate venturing subsidiary of pharmaceutical company Novartis, owns a 3.1% share in TiGenix. Other investors include pharmaceutical and chemical company Grifols, which invested €12m in 2013 through a private placement.

The underwriters for the proposed offering are Canaccord Genuity, Nomura Securities International, KBC Securities and Chardan Capital Markets.

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