Clovis Oncology Poised for IPO, Targets $13 to $15 Per Share
Published: Nov 02, 2011
Clovis Oncology Inc., a biotech drug research company, has priced its shares at between $13 and $15 for an initial public offering that could take place any day.
The Boulder-based startup filed a prospectus stating the price range for 9.3 million shares it plans to sell.
Clovis Oncology plans to go public on the NASDAQ Global Market under the symbol CLVS.
The company estimates its net proceeds, after underwriting expenses are paid, being $121.2 million if its IPO shares sell for the mid-range price of $14 each.
Clovis plans to use the money for clinical trials and other operating expenses.
The filing projects the maximum amount its IPO is likely to raise being $160.4 million, including the potential sale of over-allotment shares to companies handling the offering.
The company’s investors and founding executives are interested in buying $50.6 million worth of Clovis’ shares in the IPO, the prospectus said.
The 44-employee company was formed in 2009 by veteran biotech entrepreneur Pat Mahaffy. It launched with $146 million in backing from several venture capital and investment groups, and from its founding executives.
The company filed paperwork preparing for its IPO in June. Its mid-summer filings hinted that it wanted to complete its initial offering close to Oct. 1.
Unusually high volatility in the stock market in late has given way to relatively more regular gains in recent weeks.