Microcap biotech Benitec Biopharma revives US IPO with 61% lower deal size and warrants

Benitec Biopharma, which is developing a gene therapy platform based on DNA-directed RNA interference, reduced the number of ADSs it plans to offer, added warrants and replaced the lead underwriter ahead of its upcoming IPO on Monday. It had been scheduled to price last week but announced its postponement on Thursday. Benitec's stock currently trades on the Australian Securities Exchange under the symbol BLT at a converted price of $13.55 per ADS.

The Balmain, Australia-based company now plans to raise $25 million by offering 1.9 million ADSs and warrants to purchase 0.5 million ADSs at $13.55. The company had previously filed to raise $65 million by offering 5 million ADSs when its share price was $13.06. At its current price, Benitec Biopharma will raise 61% less proceeds than previously anticipated. The company's proposed market cap fell 26% to $104 million.

Each ADS will now include 0.28 warrants to purchase one ADS at the offer price. Benitec replaced sole bookrunner BMO Capital Markets with former lead manager Maxim Capital.

Benitec Biopharma was founded in 1995 and plans to list on the Nasdaq under the symbol BNTC. IPO timing has not been disclosed.