Pasadena, California-based GenMark Diagnostics recently announced that its initial public offering of 4.6 million shares of its common stock has been priced at $6 per share. However, as Reuters notes, the company had to cut the expected price range by 27.8 percent.
GenMark was formed by Osmetech as a Delaware corporation in February, and prior to this offering had nominal assets and no operations. In May, Osmetech filed an amended prospectus with the SEC for its proposed IPO with an expected price range of $8 to $10 per share. The British molecular diagnostics firm announced in March its plans to float in the U.S., cease trading on the AIM in London, and change its name to GenMark Diagnostics, GenomeWeb Daily News reported last month.
In a filing with the SEC, the company notes that it has limited experience in sales and marketing and may not be able to successfully commercialize our XT-8 System and related diagnostic tests. But it also points out that the U.S. market for molecular diagnostics was estimated to be $1.9 billion in 2009 and is anticipated to reach $3.4 billion in 2014 according to L.E.K., a market research firm.