Biotech Values

[DewDiligence]

Pacific Biosciences Raises $200M in IPO

[The company was profiled in a 2009 issue of Forbes (#msg-41620134).]

http://www.reuters.com/article/idAFN2616989720101026

›Tue Oct 26, 2010 7:22pm EDT

NEW YORK, Oct 26 (Reuters) - Pacific Biosciences of California Inc (PACB), which designs machines to speed up DNA sequencing in labs, priced shares in its initial public offering at the midpoint of the expected range on Tuesday, according to an underwriter.

The company sold 12.5 million shares for $16 each, raising about $200 million. It had planned to sell shares for $15 to $17 each.

Menlo Park, California-based Pacific Biosciences sells equipment that can be used for clinical, agricultural and drug research, food safety, biofuels and biosecurity applications.

The company has never been profitable and all of its revenue to date has come from government grants. Pacific Biosciences posted a net loss of $63.04 million on revenue of $1.17 million in the six months ended June 30.

Pacific Biosciences said it had a backlog of orders worth $15 million as of June 30. The U.S. Department of Energy Joint Genome Institute and Monsanto Co (MON) are among those that have ordered Pacific Biosciences equipment.

Underwriters were led by JPMorgan, Morgan Stanley, Deutsche Bank Securities and Piper Jaffray. The shares are expected to begin trading on the Nasdaq on Wednesday under the symbol "PACB."‹