Cygnus Therapeutic Systems Inc. said Monday that it raised$22.5 million in a secondary offering of 1.5 million shares ofcommon stock at $15 per share.

The Redwood City, Calif., company raised less than one-third ofthe $75 million it had hoped to raise. When the offering wasannounced in March, Cygnus had proposed selling 3 millionshares and the stock (NASDAQ:CYGN) was selling at $25. Thecompany put the offering on hold in April due to marketconditions and resumed the offering last Friday.

Cygnus shares closed at $16, up 38 cents, on Monday. After theoffering, Cygnus has 13.1 million shares outstanding.Underwriters Robertson, Stephens & Co. Inc., PaineWebber Inc.and Hambrecht & Quist Inc. have a 225,000-shareoverallotment option.

Cygnus' first product, Nicotrol transdermal nicotine patch, wasapproved by the FDA in April and will be on the market in thethird quarter. -- KB

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