Microlin Bio, a diagnostic and therapeutics biotech
researching microRNA and its role in oncology, added warrants to
the company's offering on Thursday. It now plans to raise $28
million by offering 5.5 million units at a range of $4.50 to
$5.50. The units will consist of one share of stock and one
warrant to purchase one share at a price of $6, to be exercised
within five years of the offering, which is now planned for next
week. The company's market cap remains unchanged at $51 million.
The latest filing represents the fourth time Microlin Bio has
revised the terms of its IPO, first raising the proposed market
cap by 40% and then adjusting it back down. It previously planned
to raise $30 million by offering 6.0 million common shares at a
price range of $4.50 to $5.50.
The IPO market's appetite for biotechs has ebbed and flowed this
year as investors balance the risks of an early stage company
with potential benefits, which, along with its size, could
explain the multiple term revisions. The only IPO this year to
add warrants so close to its pricing date was Quotient
), which initially traded poorly but today rose 6% and above its
IPO price, though still below its warrants' strike price.
Microlin Bio, which was founded in 2013, plans to list on the
NASDAQ under the symbol MCLB. The company has exclusive
licensing agreements with Ohio State University on a portolio of
over 250 patents covering mircroRNAs. Brean Capital and
Summer Street Research Partners are the joint bookrunners on the
deal. It is expected to price the week of July 7, 2014.