PacBio raises $200M with IPO

Pacific Biosciences--a 2009 Fierce 15 company--has bucked the trend of under-performing biotech IPOs with the announcement that it has raised $200 million in its initial public offering. The company sold 12.5 million shares for $16 each, pricing it in the middle of its targeted $15 to $17 range. It will trade on NASDAQ under the ticker PACB. IPOX Capital Management founder Josef Schuster tells Bloomberg that biotech IPOs have "just have a very hard time to get out of the door. If they were able to price in the middle of the range, I think that's positive."

Proceeds will help the company fund R&D of its products and SMRT technology (photo), which uses nanofabrication, biochemistry, molecular biology, surface chemistry and optics to enable real-time analysis of biomolecules. In addition to R&D expenses, PacBio will boost its sales and marketing in advance of commercial launch and increase its manufacturing operations. In an earlier SEC filing the company indicated that it may be interested in acquiring a technology or businesses that would compliment its current portfolio. Prior to going public, PacBio raised $370 million in venture funds.