San Diego’s Celladon Postpones IPO, Cites “Poor Market Conditions”
Maybe that IPO wasn’t such a good idea after all.
San Diego’s Celladon, on the fast track to advance clinical development of its first-in-class gene therapy for patients with systolic heart failure, postponed its IPO Wednesday, according to Renaissance Capital, an institutional research firm that specializes in IPOs.
The company cited poor market conditions.
Celladon set the terms for its IPO in a Nov. 1 filing that set a price range of $14 to $16 per share. The initial stock offering of 5 million shares was intended to raise about $75 million.
The company’s decision to postpone its offering came on the same day that Tandem Diabetes Care, a San Diego medical device company, completed a bigger-than-expected IPO at the top of its price range. Life sciences companies represent the biggest segment of IPOs this year, which have been happening at a near-record pace. Tandem Diabetes was San Diego’s seventh life sciences company to go public this year.
On the other hand, Palo Alto, CA-based CardioDx, which sells a diagnostic test for coronary artery disease, also postponed its planned IPO, according to Renaissance Capital. CardioDx also cited poor market conditions. Redwood City, CA-based Relypsa, which is developing a treatment for hyperkalemia, reduced the terms of its IPO, which was planned for today.
Celladon initially filed confidentially for its IPO in early September. J.P. Morgan and Barclays were set to be the joint bookrunners on the deal.