Biotech New Deal Calendar

WEEK OF OCT. 31

DURECT CORP. (Symbol: DRRX): follow-on offering of 7.4 million shares and the secondary sale of 32,256 shares by selling stockholders; greenshoe of 820,368 in the follow-on and 294,470 shares in the secondary; Morgan Stanley & Co. Inc. (sole books) and J.P. Morgan Securities Inc. are joint lead managers; co-managers are CIBC World Markets and WR Hambrecht & Co.; Cupertino, Calif.-based Durect is an emerging specialty pharmaceutical company focused on the development of pharmaceutical systems based on its proprietary drug delivery platform technologies.

HYTHIAM INC. (Symbol: HYTM): follow-on offering of 8 million shares, up from 7.5 million; greenshoe boosted to 1.2 million from 1,125,000; estimated net proceeds lowered to $43.6 million on price of $5.90, versus initial estimate of $53.6 million, assuming an offering price of $6.72 a share; Los Angeles-based company focused on physiological treatments for alcoholism and other substance dependency; plans to use proceeds to fund clinical research studies, marketing initiatives and other general corporate purposes; bookrunner is UBS Investment Bank; First Albany Capital is co-manager.

UPCOMING BANK CLOSINGS

FRESENIUS MEDICAL CARE AG: Pro rata bank meeting was June 23, term B likely launching in the fall; $5 billion senior credit facility; Bank of America and Deutsche Bank, with Bank of America left lead; $1 billion revolver at Libor plus 137.5 bps; $2 billion five-year term A at Libor plus 137.5 bps; $2 billion seven-year term B; finance acquisition of Renal Care Group Inc. for about $3.5 billion, plus the assumption of about $500 million of Renal debt, and refinance Fresenius credit facility; Bad Homburg, Germany, dialysis products and services provider.

IPOs ON THE HORIZON

ACCENTIA BIOPHARMACEUTICALS INC. (Symbol: ABPI): initial public offering of 2.5 million shares, lowered from 5.25 million shares, which was a reduction from initial plans for 6.25 million shares, greenshoe reduced to 375,000 shares from 937,000 shares; including 1 million by Pharmaceutical Product Development Inc.; still proposed at $8 to $10 per share, reduced from initial plans for $11 to $13; Tampa, Fla.-based company plans to use proceeds to repay in full an outstanding loan from McKesson Corp., complete phase III clinical trials for SinuNase, complete a phase III clinical trial for Biovaxid, complete the design and prototype for an automated production and purification system for the manufacture of Biovaxid, to fund milestone payments due to partners with respect to products in the pipeline, and general corporate purposes, including working capital and capital expenditures; via Jefferies & Co. Inc. (books); co-managers are Ferris Baker Watts Inc., Stifel Nicolaus & Co. Inc. and GunnAllen Financial Inc.

ACORDA THERAPEUTICS INC. (Symbol: ACOR): initial public offering; proceeds estimated at $86.25 but no price range or timing provided; Hawthorne, N.Y.-based company focuses on multiple sclerosis, spinal cord injury and other central nervous disorders; it has a marketed product, Zanaflex Capsules, approved for spasticity; lead product candidate, Fampridine-SR, is in a phase III clinical trials to improve walking ability in people with MS; Banc of America Securities is bookrunner; co-managers are Lazard Capital Markets, Piper Jaffray and SG Cowen & Co.

ALGORX PHARMACEUTICALS INC. (Symbol: AGRX): initial public offering of 6.8 million shares; greenshoe of 1.02 million shares; price range of $7 to $8 per share; Secaucus, N.J.-based emerging biopharma company is focused on pain medications, with three product candidates in various stages of clinical programs; proceeds, together with cash on hand, to be used for continuing development of product candidates, clinical trial programs and new drug applications, to fund operations, provide working capital and other general corporate purposes, which may include in-licensing or acquiring additional product candidates; underwriters are Credit Suisse First Boston, Citigroup, Piper Jaffray and Lazard.

ALTUS PHARMACEUTICALS INC. (Symbol: ALTU): $115 million initial public offering of common stock; Merrill Lynch & Co., Morgan Stanley (joint leads), SG Cowen & Co.; Cambridge, Mass.-based biopharmaceutical company focused on the development and commercialization of oral and injectable protein therapeutics for chronic gastrointestinal and metabolic disorders; proceeds for drug development and general corporate purposes.

AMPHASTAR PHARMACEUTICALS INC. (Symbol: AMPR): initial public offering of common stock; proceeds estimated at $115 million, but no per-share price range yet; the company issued 675,676 shares in a private placement in February 2005 at $14.80 per share; Rancho Cucamonga, Calif.-based company has 66 generic and branded injectable and inhalation products in the market, such as Primatene Mist; proceeds are earmarked to fund continued development of product candidates, to upgrade, renovate and equip an additional manufacturing and development building and general corporate purposes such as potential acquisitions; underwriters are Lehman Brothers, UBS Investment Bank (joint books) and Deutsche Bank Securities.

BIONUMERIK PHARMACEUTICALS INC. (Symbol: BNPI): initial public offering of 5 million shares with 750,000 greenshoe; proposed at $14 to $16 per share; San Antonio-based company develops Tavocept as an investigational new drug to prevent or mitigate neuropathy and BNP 1350 as an anti-tumor chemotherapy drug; proceeds earmarked to complete Tavocept manufacturing and commercialization, advance phase III clinical trials for BNP 1350, working capital and other general corporate purposes; underwriters are UBS Investment Bank (books) with co-managers Needham & Co., Leerink Swann & Co., and Punk Ziegel & Co.

COMBINATORX INC. (Symbol: CRXX): initial public offering of 6 million shares; greenshoe of 900,000 shares; proposed at $10 to $12 per share; Boston-based company is focused on developing new medicines built from synergistic combinations of approved drug with clinical trials under way for seven product candidates targeting multiple immuno-inflammatory diseases and cancer; proceeds will be used to fund clinical trials, development of additional product candidates, working capital, capital expenditures and general corporate purposes such as possible acquisitions; underwriters are S.G. Cowen & Co., Pacific Growth Equities LLC, SunTrust Robinson Humphrey and A.G. Edwards & Sons Co.

ELECTRO-OPTICAL SCIENCES INC. (Symbol: MELA): initial public offering of 4 million shares, greenshoe of 600,000 shares; price range bumped to $5 (from $5.50 to $6.50, from earlier $5.50 per share, a revision from $8 to $10 per share, which was reduced from initial filing at $10 to $12); post-IPO, the company will have 10.51 million shares outstanding; Irvington, N.Y.-based medical device company focuses on instruments used in the early diagnosis of melanoma; plans to use proceeds to fund research and development, including clinical studies, build a sales and marketing force and for general corporate purposes, including working capital, facilities expansion and potential acquisitions; bookrunner now is ThinkEquity Partners LLC; co-lead manager is Stanford Group Co.

IOMAI CORP. (Symbol: IOMI): initial public offering; proceeds estimated at $86.25 million; no other estimates provided; Gaithersburg, Md.-biopharmaceutical company concentrates on developing and commercializing vaccines and immunostimulants delivered to the skin; proceeds will be used to fund clinical trials, to fund operations and to provide working capital; bookrunner is UBS Investment Bank; SG Cowen & Co. is joint lead manager; co-managers are First Albany Capital and Susquehanna Financial Group.

PRESTWICK PHARMACEUTICALS INC. (Symbol: PWCK): initial public offering of common stock; Washington, D.C.-based specialty pharmaceutical company develops small molecule drugs that target chronic diseases of the central nervous system; proceeds slated to fund clinical trials, working capital and general corporate purposes, including capital expenditures; underwriters are UBS Investment Bank, Deutsche Bank Securities and CIBC World Markets.

RELIANT PHARMACEUTICALS INC. (Symbol: RRX): initial public offering of common stock; estimated proceeds $300 million; Liberty Corner, N.J.-based company develops and markets branded cardiovascular drugs; plans to use proceeds to acquire rights to additional pharmaceutical products, increase promotional activities for existing product portfolio, fund clinical development projects and general corporate purposes; lead underwriter is Goldman Sachs & Co.; co-managers are Banc of America Securities, Deutsche Bank Securities, JPMorgan, William Blair & Co. and Lazard Capital Markets.

SGX PHARMACEUTICALS INC. (Symbol: SGXP): initial public offering; gross proceeds estimated at $80.5 million; no other estimates given; largest shareholder, Atlas Venture Funds, holds 22.85% of pre-IPO stock with 3.74 million shares, and BA Venture Partners holds 22.61% with 3.71 million shares; San Diego-based developmental cancer drug company said most of the proceeds will be used for research and development; its primary drug candidate, Troxatyl, currently in a phase II/ III clinical trial for the third-line treatment of acute myelogenous leukemia, a blood cancer; underwriters are CIBC World Markets, Piper Jaffray and JMP Securities.

VALERA PHARMACEUTICALS INC. (Symbol: VLRX): initial public offering of common shares; no estimates given; Cranbury, N.J.-based company focused on the treatment of urological and endocrine conditions; proceeds will be used to fund expansion of sales and marketing force, research and development activities, to expand manufacturing facilities and general corporate purposes; underwriters are UBS Investment Bank (bookrunner), Banc of America Securities (joint lead), First Albany Capital and Fortis Securities.

VOYAGER PHARMACEUTICAL CORP. (Symbol: VYGR): initial public offering of 5.9 million common shares; greenshoe of 885,000 shares; proposed at $15 to $19 per share; OpenIPO auction; Raleigh, N.C.-based company's most advanced product candidate, in phase III trials, is Memryte, a small, biodegradable implant comprised of leuprolide acetate and a polymer, for mild to moderate Alzheimer's disease; bookrunner W.R. Hambrecht & Co.

FOLLOW-ON OFFERINGS

DYAX CORP. (Symbol: DYAX): follow-on offering of 9 million shares; estimated proceeds of $52.8 million, based on Aug. 19 average price of $5.87; no underwriters or timing set; Boston-based firm, which is focused on advancing novel biotherapeutics with an emphasis on cancer and inflammatory indications, has two product candidates in or entering into phase II clinical trials for three indications; proceeds would be used for general corporate purposes, including financing its clinical development programs.

IDENIX PHARMACEUTICALS INC. (Symbol: IDIX): follow-on offering of 6,593,406 shares and secondary offering of 942,507 shares by stockholders; also a greenshoe for 1,130,387 additional shares in the secondary offering by stockholders; bookrunner is Morgan Stanley & Co. Inc.; Bear Stearns & Co. Inc. is co-lead manager; Cambridge, Mass., company, focused on drugs for viral and other infectious diseases such as hepatitis B, hepatitis C and HIV; proceeds, estimated at $145.5 million based on an assumed price of $22.75 per share, will be used for working capital, research and development, sales and marketing, capital expenditures and potential acquisitions.

POINT THERAPEUTICS INC. (Symbol: POTP): follow-on offering of 6 million shares; greenshoe of 900,000 shares; off the shelf; Boston-based company develops a family of dipeptidyl peptidase inhibitors for use in cancer, type 2 diabetes, and as vaccine adjuvants; lead product candidate, talabostat, is in phase 2 clinical trials; bookrunner is Pacific Growth Equities, LLC; co-lead manager is CIBC World Markets Corp.

DEBT ON THE HORIZON

MEDICIS PHARMACEUTICAL CORP. (Symbol: MRX): $650 million seven-year senior secured credit facility; Deutsche Bank; help fund acquisition of Inamed Corp.; Scottsdale, Ariz., specialty pharmaceutical company.

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