Acorda Therapeutics cuts IPO price talk to $6-$7 per share from $11-$13

By Ted A. Knutson

Washington, Feb. 9 - Acorda Therapeutics Inc. cut the price talk for its planned initial public offering to $6 to $7 per share from $11 to $13 per share in an amendment to its S-1 filing with the Securities and Exchange Commission.

As a result, the company said estimated net proceeds will decrease to $31.1 million from $59.3 million based on an assumed public offering price of $6.50 per share - the midpoint of the new estimated price range - or about $36.1 million if the underwriters exercise their over-allotment option in full.

The number of shares remains the same at 5.5 million with a greenshoe of up to 825,000 shares.

The Hawthorne, N.Y.-based firm is a commercial-stage biopharmaceutical company dedicated to the identification, development and commercialization of therapies that improve neurological function in people with multiple sclerosis, spinal cord injury and other disorders of the central nervous system.

Proceeds will be used for general corporate purposes, except that Acorda said it intends to use about $20 million to $25 million of the net proceeds principally to complete its current Fampridine-SR clinical trial and for other research and development purposes.

Banc of America Securities LLC is the lead manager for the offering. Co-managers are Lazard Capital Markets, Piper Jaffray and SG Cowen and Co.

Acorda will apply to list its common stock on the Nasdaq National Market under the symbol "ACOR."

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