After a rousing April, biotech IPOs in trouble again... Last Friday, Momenta Pharmaceuticals cut its IPO price to $7-9 per share from $13-15. Senomyx Inc. followed suit and cut the price of its offering for a second time this week to $7-8 per share. It has been a pattern oft repeated this spring and only a few offerings have escaped last minute price cuts. On Thursday, CoTherix Inc. pulled its IPO off the market altogether and many companies in the pipeline are struggling to set a price. More withdrawals are expected as the supply appears to be running far ahead of demand.
