Global CRO PRA Health Sciences Files For $375 Million IPO As Clinical Trial Demand Heats Up

Global CRO PRA Health Sciences Files For $375 Million IPO As Clinical Trial Demand Heats Up

September 9, 2014

By Riley McDermid, BioSpace.com Breaking News Sr. Editor

Clinical trials firm PRA Health Sciences has filed a Form S-1 with the U.S. Securities and Exchange Commission to raise up to $375 million in funding for an initial public offering, the company said in a statement late Monday.

The IPO will be underwritten by Citigroup, Jefferies, UBS Investment Bank and private equity shop Kohlberg Kravis Roberts & Co. LLP (KKR.N). PRA said it will list its common stock on the Nasdaq under the symbol "."

The Raleigh, N.C.-based company is fully owned by KKR, which bought it for undisclosed terms from Genstar Capital LLC in June 2013.

PRA conducts research for pharmaceutical companies to help guide them over the regulatory hurdles needed to approve drugs in more than 80 countries. It also offers outsourced clinical trial services.

PRA said it had not yet determined how many shares the company it plans to sell nor their expected price. Still, the $375 million estimate will be closely watched, because the amount of funding listed in IPO regulatory filings is used to determine how much a company will pay in registration fees.

PRA said it intends to use the IPO proceeds to pay down its corporate debt by redeeming a portion of Senior Notes issued.

According to regulatory filings, the company had $375 million principal amount of 9.5% senior notes due 2023, outstanding as June 30, 2014.

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