Brain AG sets IPO price range at 9 to 12 euros per share

Heidelberg Pharma AG

20/01/2016 22:18

FRANKFURT, Jan 20 (Reuters) - German industrial biotech 
group Brain AG on Wednesday set a price range of 9 euros to 12 
euros per share for its initial public offering (IPO), hoping to 
raise up to 48.3 million euros  ($52.60 million) before its 
planned first day of share trading on Feb. 9. 
    Brain said in a statement it planned to offer 3.5 million 
newly issued shares from a capital increase and up to 525,000 
shares from a potential over-allotment. 
    The total offer volume would be 36.2 million to 48.3 million 
euros, including over-allotment, with the subscription period 
running from Thursday to Feb. 3. 
    No less than 10 per cent of the offer shares would be 
reserved for retail investors, Brain said, adding that if all 
shares were placed, the company would have a free float of 24.5 
percent.  
    Brain's flotation would make it the first biotech IPO in 
Germany in more than nine years after cancer drug developer 
Wilex  WL6G.DE . 
    The company, which has done development work for firms 
including Henkel  HNKG_p.DE  and Evonik  EVKn.DE , had said it 
was eyeing a significant double-digit million euro amount in IPO 
proceeds and hoped to be valued at around 200 million euros. 
    Among its various unconventional projects, it is genetically 
engineering bacteria that metabolise carbon dioxide from flue 
gas into chemical raw materials.  
    It breeds cell cultures from cats' taste buds to help 
Symrise  SY1G.DE  develop pet food ingredients and it is also 
working on microbes that could make lubricant ingredients out of 
sewage or that may replace hazardous cyanide leaching in mining 
of precious metals. 
    The firm, controlled by the German Putsch family behind 
Recaro aircraft seats and strollers and Munich-based investment 
firm MIG, plans to use IPO proceeds to expand from mainly doing 
commercial research for others into production and marketing of 
its own enzymes and microbes. 
    ODDO Seydler is lead manager of the transaction, Brain said. 
 
 
($1 = 0.9183 euros) 
 
 (Reporting by Jonathan Gould and Ludwig Burger; Editing by 
Chris Reese) 
 ((Jonathan.Gould@thomsonreuters.com; +49 69 7565 1242; Reuters 
Messaging: jonathan.gould.thomsonreuters.com@reuters.net)) 
 
Keywords: BRAINAG IPO/