A pair of biotechs has priced their IPOs. Edge Therapeutics has trimmed its expectations, looking for around $85 million from the auction of 5.7 million shares at $14 to $16 a share, while Strongbridge Biopharma expects to raise $76 million from the sale of 4.25 million shares. Edge could come out of the IPO with a market value of $435 million, reports Renaissance Capital, while Strongbridge is targeting $423 million.
Edge had initially set out with an eye to raising $115 million, according to their S-1. The New Jersey-based biotech has been using its polymer technology to develop a better way to deliver nimodipine, which is used to treat brain hemorrhages. Edge researchers have been blueprinting a pivotal study for that program, which is looking to get started next year.
Up until a few weeks ago the Swedish-American Strongbridge was called Cortendo. The biotech has been assembling a portfolio of rare disease drugs in the pipeline, with their lead drug for Cushing's syndrome-- COR-003 (levoketoconazole) -- slated for a readout in the first half of 2017. Investors have chipped in more than $70 million in recent months, in part to help buy in a pair of acromegaly drugs now in Phase II development.
Despite some recent market turmoil, including yesterday's 4% drop in the Nasdaq biotech index after Hillary Clinton began discussing plans to rein in drug prices, the IPO window has remained open. Companies have continued to line up, looking to join a market fiesta that has now been underway for three years. And while not everyone has made the big scores they were looking for, there's still no end in sight.