Civitas Therapeutics, a biotech developing a therapy for re-emerging symptoms of Parkinson's disease, announced terms for its IPO on Monday. The Chelsea, MA-based company plans to raise $75 million by offering 5.0 million shares at a price range of $14 to $16. Insiders intend to purchase $20 million worth of stock on the offering (27% at the midpoint). At the midpoint of the proposed range, Civitas Therapeutics would command a fully diluted market value of $403 million.
Civitas recently completed Phase 2b trials for its lead candidate, which treats the unpredictable OFF episodes related to Parkinson's disease. Its self-administered reusable inhaler is expected to enter Phase 3 trials in early 2015, and Civitas plans to submit an NDA through the 505(b)(2) approval pathway.
Primary shareholders include Longitude Capital Partners, Canaan Partners, Bay City Capital, Fountain Healthcare Partners, RA Capital, Alkermes and Wellington Management.
Civitas Therapeutics, which was founded in 2009, plans to list on the NASDAQ under the symbol CVTS. J.P. Morgan and BofA Merrill Lynch are the joint bookrunners on the deal. It is expected to price on Wednesday, September 24, 2014.
