Vivus Inc., which is in Phase II trials of its product to treatimpotence, filed a registration statement Thursday proposing thepublic offering of 2.1 million shares of common stock, 1.67 millionof which will be offered by the Menlo Park, Calif. company.

The other 430,000 shares will be offered by current institutionalshareholders. Invemed Associates Inc., of New York, is underwritingthe department.

Vivus' stock (NASDAQ:VVUS) closed unchanged Thursday at$15.75 per share. If closed at that price, Vivus would gross about$26.3 million.

Vivus reported $41 million in cash and investments on Dec. 31, and11.74 million shares outstanding. The company reported a 1994 netloss of $14.9 million, but is expected to spend more this year, saidBarbara Clark, Vivus' manager of administrative services.

Vivus has completed enrollment of a double-blind, placebo-controlled Phase III confirmatory study that includes about 990 men.

The company is testing its system called Medicated Urethral Systemfor Erection (MUSE)-alprostadil. It's a single-use disposable plasticapplicator that delivers the generic drug alprostadil into the urethra.The primary efficacy endpoint of the study is the ability of the patientand his spouse to have sexual intercourse.

Vivus expects to file a new drug application for the product in 1996._ Jim Shrine

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