San Diego drug developer Otonomy Inc. announced Jan 12 the closing of its $115 million public offering of stock.
The previously announced public offering included 5,750,000 shares of its common stock, and an additional 750,000 shares (sold pursuant to the underwriter’s full exercise of their option to purchase additional shares) at the price of $20 per share.
BofA Merrill Lynch, Cowen and Company and Piper Jaffray acted as joint book-running managers for the offering. Sanford C. Bernstein and SunTrust Robinson Humphrey acted as co-managers.
Otonomy recently received approval from the U.S. Food and Drug Administration for its first drug, Otiprio. The antibacterial drug was being tested to treat pediatric patients with a type of middle ear infection in children receiving ear tubes (tympanostomy tube placement surgery).
Otonomy is now planning to get Otiprio (formerly called AuriPro) on the market in the first quarter of next year.
The company is developing a pipeline of treatments for ear disorders, and CEO David Weber has said the global market for Otonomy’s products measures above $1 billion year.