Following a rough path taken by Omeros recently, Aldagen is setting out to see if investors will buy into an IPO for a money-losing biotech with late-stage prospects and high hopes for its stem cell therapies.
Aldagen pulled out of a frozen IPO market last year, but yesterday filed for an initial public offering to raise $80.5 million. The Wall Street Journal notes that Aldagen, based in Durham, NC, has raised $56 million in venture capital from Aurora Funds, Intersouth Partners, Tall Oaks Capital, Tullis Health Investors and others.
Like Omeros, Aldagen has been losing money as it invests in its experimental drug programs. But Aldagen is hoping that its late-stage programs to improve engraftment following cord-blood transplants and a treatment for critical limb ischemia will be viewed more favorably by biotech investors. Two products--Aldefluor and Aldecount--are commercially available but don't gin much cash.
- here's the report