Stormy Conditions Causing Delays in Initial Public Offerings

Andrew Klips |

nyse, wall street, economy, stock marketRadius Health Inc. (RDUS) said Wednesday that it is postponing its initial public offering, citing market conditions.  The company planned its offering for today to list on the Nasdaq Global Market under the ticker “RDUS.”  In October, the pharmaceutical company reported that it expected its IPO of 6.5 million shares to be priced between $8.50 and $10.50 per share.  At the midpoint of the range, Radius would have a fully-diluted market capitalization of about $300 million.

The Cambridge, Massachusetts company is primarily focused on developing new therapeutics for the treatment of osteoporosis and other women’s health conditions.  In December 2011, Radius raised $91 million in venture funding with a portion of the raise dedicated towards its phase III clinical trials of its lead drug candidate, BA058, an injectable which is said to stimulate rapid bone formation in osteoporosis patients.  Since being founded in 2003, Radius has raised almost $200 million in funding.

Former Genzyme (GENZ) Chief Financial Officer Michael S. Wyzga sits as CEO at Radius Health.  For the period ended June 30, 2012, Radius reported a loss of $30.8 million.

Meanwhile Taylor & Martin Group (TMG), a company that auctions corporate assets, and healthcare company Signulex (SGLX) have also postponed their IPOs that were anticipated for today.  TMG, SGLX and RDUS were all planning their initial offerings in the first week of November, but postponed because of Hurricane Sandy’s destruction on the East Coast and deteriorating market conditions, according to reports.

Other companies slated to IPO this week include:

Energy & Exploration Partners (ENXP), an early stage oil and gas E&P focused on unconventional sources.  The Forth Worth, Texas company plans to raise $236 million through 15.8 million shares priced between $14 and $16 per share and list on the NYSE under the ticker “ENXP.”

Silvercrest Asset Management Group (SAMG), an investment company for the uber-wealthy with $11 billion in assets under management.  The New York City-based company plans to raise $55 million through offering 4.6 million shares between $11 and $13 each and list on the Nasdaq under the ticker “SAMG.”

Ruckus Wireless (RKUS), a provider of carrier-class Wi-Fi systems to telecoms and enterprises.  The Sunnyvale, California-based company expects to raise $98 million by offering 7 million shares between $13 and $15 per share and list on the NYSE under the ticker “RKUS.”

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Companies

Symbol Name Price Change % Volume
RDUS Radius Health Inc. 56.52 -0.89 -1.55 401,316
RKUS Ruckus Wireless n/a n/a n/a 0
SAMG Silvercrest Asset Management Group Inc. 11.94 -0.14 -1.16 3,681
ZBIO ProShares Trust UltraPro Short NASDAQ Biotechnology 19.51 0.37 1.93 29,505

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