Renaissance Capital logo

Late-stage biosimilars biotech Oncobiologics slashes proposed IPO deal size and adds warrants

May 11, 2016
ONS

Oncobiologics, which is developing biosimilars of blockbuster drugs Humira and Avastin, lowered the proposed deal size for its upcoming IPO on Wednesday.

The Cranbury, NJ-based company now plans to raise $35 million by offering 5.8 million shares at a price of $6. Insiders intend to purchase $20 million worth of shares in the offering. In addition, Sabby Healthcare Master Fund has indicated an interest in purchasing $5 million in shares in a concurrent private placement. The company had previously filed to offer 5 million shares at a range of $11 to $13. At the midpoint of the revised range, Oncobiologics will raise -42% less in proceeds than previously anticipated.

Oncobiologics was founded in 2010 and plans to list on the Nasdaq under the symbol ONS. Jefferies and Barclays are the joint bookrunners on the deal. It is expected to price during the week of May 9, 2016.