Philogen cancels IPO after Bayer pulls out of cancer deal

Philogen's bid to become the first European biotech to IPO in 2011 has hit a snag. The biotech had planned to sell a 23 percent stake and debut on the Milan stock exchange this Friday. The company, which is based in Italy but has a branch in Switzerland, had planned to raise up to raise up to €65.3 million in the offering.

But in a surprise move, partner Bayer has pulled out of its pact for Phase II oncology drugs radretumab and darleukin. The company gave no reason for its change of heart, telling PharmaTimes that it has "have sent a letter to Philogen informing them about our decision to terminate our licence agreement."

This is the second time Philogen has canceled an IPO; in 2008 its plans were put on hold due to market conditions. The company says its developing biopharmaceuticals for the treatment of angiogenesis-related disorders such as cancer, rheumatoid arthritis and age-related macular degeneration. On its website the company claims to have "six promising anti-cancer antibody derivatives and an antibody-derivative for the treatment of rheumatoid arthritis in clinical studies."

- here's the PharmaTimes article