Ribi ImmunoChem Research Inc. (NASDAQ:RIBI) anouncedMonday that it has postponed its follow-on offering of 3 millionshares of common stock "pending improvement in marketconditions." Hambrecht & Quist is underwriting the offering.
"The price of our stock reflects the generally weak market forbiotech issues; we do not believe it is reflective of thecontinued advancement of our product developmentprograms," said Robert E. Ivy, Ribi's chief executive officer,president and chairman.
The Hamilton, Mont., company filed its registration statementfor the current offering on Jan. 26. At that time, the stock wastrading at $7.63 a share. The company has been public since1981 and has completed two follow-on offerings since then, themost recent one in 1985. The stock closed unchanged Mondayat $6.00.
Of the 13 biotech companies that filed for follow-on offerings inJanuary, nine have completed, and, including Ribi's decision onMonday, four have now postponed. Only one company filed fora follow-on offering in February, PerSeptive Biosystems Inc.PerSeptive completed its offering on March 5.
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