San Diego's Cidara Therapeutics Files for $69 Million IPO
Published: Mar 17, 2015
March 16, 2015
By Krystle Vermes, BioSpace.com Breaking News Staff
San Diego-based biotechnology company Cidara Therapeutics announced on March 13 that it had filed with the U.S. Securities and Exchange Commission for an initial public offering. Cidara wants to raise up to $69 million, and it plans to be listed on NASDAQ under the symbol CDTX.
Cidara Therapeutics primarily focuses on developing therapies for fungal infections. The company had initially filed confidentially back on Feb. 4, and no pricing terms have been disclosed as of yet. Jefferies and Leerink Partners are the joint book runners on the deal, according to Renaissance Capital.
Making Progress Through Funding
On Feb. 11, Cidara announced that it had completed a $42 million Series B private funding round. The company noted that both existing and new investors took part in the round, coming from a wide range of areas across the healthcare field.
“We appreciate the support and confidence demonstrated by our new and existing investors in this round,” said Jeff Stein, chief executive officer of Cidara. “Proceeds from the financing will enable us to accelerate the development of our echinocandin antifungal programs, CD101 IV and CD101 topical, as well as our immunotherapy platform, Cloudbreak, which, we believe, may represent a fundamentally new approach to the treatment of infectious diseases.”
Cloudbreak is Cidara’s immunotherapy platform, and it’s being used to treat invasive aspergillosis, a fungal infection with a high mortality rate. The platform works similarly to other cancer immunotherapies on the market. It uses molecules with two binding sites -- one binds to a cell surface target, and a second binds to specific receptors on immune cells.
Expanding the Pipeline
Cidara Therapeutics has four drug candidates in its pipeline – CD101 IV, CD101 Topical, C001 and C016. A majority of its candidates are geared toward treating invasive fungal infections. CD101 IV and CD101 topical are both close to reaching an Investigational New Drug Application. C001 and C016 are currently subject to ongoing preclinical studies, while Cidara has other development candidates in its discovery phase.
Cidara estimates that the worldwide sales of prescription systemic antifungals are approximately $3.7 billion. The company also believes that infections caused by the Candida and Aspergillus fungi are responsible for 90 percent of the 97,000 annual deaths associated with fungal infections in the U.S.
BioSpace Temperature Poll
After Amgen Inc. said last week that it will close its South San Francisco facility acquired during its $10 billion buyout of Onyx Pharmaceuticals and will lay off 300 of Oynx’s 750 workers, BioSpace is wondering—will the number of mergers and acquisitions completed in 2014 mean a “streamlining” of biotech jobs in the Bay Area? Tell us your thoughts.