Human Genome Sciences Inc. on Monday registered tosell 2.5 million shares of common stock in the company'ssecond public offering.
If the stock (NASDAQ:HGSI) sells at Monday's closingprice of $24.25, the company would gross $60.6 million.
"The proceeds from this offering will be used primarily tofund further research and development of therapeuticprotein candidates and other proprietary productopportunities based on human and microbial genes,"Nancy Broadbent, Human Genome's senior vicepresident and chief financial officer told BioWorldToday.
Higher research and development expenses in 1995contrasted with lower revenues due to payments pursuantto collaboration agreements. The company reported a netloss of $11 million or 74 cents per share for the sixmonths ending June 30, 1995 compared to net income of$7.5 million or 48 cents per share for the same period in1994.
Revenues of $5 million in the first six months of 1995were significantly lower than revenues of $12.5 millionfor same period in 1994. They consisted of paymentsfrom Takeda Chemicals Industries Ltd., of Osaka, Japan,for an option and license agreement to commercializecertain future Human Genome products in Japan.
Human Genome's 1994 revenues included paymentsfrom a collaborative agreement with SmithKlineBeecham plc, of Philadelphia, after Human Genome metits first two milestones. The company anticipates anadditional payment of $25 million from SmithKlineBeecham if a third milestone is met by the end of 1995.
Human Genome expects that existing funds, interestincome and the anticipated payment from SmithKlineBeecham will be sufficient to fund the Rockville, Md.-based company for about two years. _ Michele L.Robinson
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