Vanda Pharmaceuticals files for $75 million IPO of stock

By Ted A. Knutson

Washington, Dec. 29 - Vanda Pharmaceuticals Inc. filed for a $75 million initial public offering of stock on Thursday.

The Rockville, Md.-based biotechnology company focuses on the development and commercialization of clinical-stage, small molecule product candidates for central nervous system disorders.

The company's portfolio of developmental drugs includes:

• Iloperidone, an atypical antipsychotic for the treatment of schizophrenia and bipolar disorder, which the firm is evaluating in a phase 3 trial for schizophrenia aimed for completion in the first half of 2007.

• VEC-162, a melatonin agonist for the treatment of insomnia and depression, which is entering a phase 3 trial for insomnia and is also ready for phase 2 trials for depression.

• VSF-173, a compound for the treatment of excessive daytime sleepiness, for which Vanda expects to begin a phase 2 trial in the second half of 2006.

IPO proceeds will be used for research, pre-clinical development and clinical trials.

JP Morgan and Banc of America Securities LLC are the joint book runners. Thomas Weisel Partners LLC is a co-manager.

As of Sept. 30, the company had $22.26 million in cash. Vanda had a net loss of $17.0 million on no revenue for the first nine months of 2005 against a loss of $6.3 million on revenue of $34,000 for the first nine months of 2004.

Care Capital Investments II is the leading shareholder with 9.17 million shares for 22.8% of the pre-IPO total. Domain Partners is second with 8.13 million shares for 20.2% of the total.

The company plans to be listed on the Nasdaq under the ticker symbol "VNDA."

The announcement was made in an S-1 registration with the Securities and Exchange Commission.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.