Israel’s NeuroDerm, which has developed a transdermal drug delivery system for the treatment of Parkinson’s disease, held a less than stellar IPO on the NASDAQ, selling 4.5 million shares at a price of just $10 per share. The represented a total of $45 million raised for a company valuation of only $164 million.
NeuroDerm had previously disclosed an expected valuation of $290 million as it had hoped to raise as much as $72 million from its IPO. But the company could end up with more than $50 million in new funds as it has granted the underwriters of the IPO a 30-day option to purchase up to an additional 675, 000 ordinary shares.
The company will use the new funds for the continued development of its support ND0612H and ND0612L, two mid-stage products that mete out respective high and low doses of the Parkinson’s treatments levodopa and carbidopa.
It is one of 70 bio-med firms to go public in The U.S. so far this year alone.
Jefferies LLC and Cowen and Company, LLC acted as joint book-running managers for the offering. Oppenheimer & Co. Inc. and Roth Capital Partners acted as co-managers for the proposed offering.
NeuroDerm is a clinical-stage pharmaceutical company developing central nervous system (CNS) product candidates that are designed to overcome major deficiencies of current treatments and achieve enhanced clinical efficacy through continuous, controlled administration. NeuroDerm is headquartered in the Rabin Science Park, Rehovot, Israel.