Cerecor, which is developing a novel adjunct therapy for major depressive disorder, revised terms for its IPO on Thursday.
The Baltimore, MD-based company had originally planned to raise $27 million by offering 4.23 million shares at a price range of $6 to $7. At the midpoint of the range, it would have commanded a market value of $58 million.
In its latest amendment, Cerecor disclosed that it still plans to raise $27 million, but by offering 4.23 million units at the same range. Each unit will consist of one common share, one Class A warrant immediately exercisable for one share at $4.55 and one Class B warrant immediately exercisable for one-half of one share at an exercise price of $3.90 per full share. Accounting for the dilutive warrants, Cerecor would command a fully diluted market value of $71 million at the midpoint.
Cerecor, which was founded in 2011, plans to list its units on the Nasdaq under the symbol CERCU. The units, common shares (CERC), Class A warrants (CERCW) and Class B warrants (CERCZ) will begin to trade separately on the 60th day following the offering. Cerecor initially filed confidentially on December 20, 2013. Maxim Group is the sole bookrunner on the deal. It is expected to price during the week of October 5, 2015.
