GenDerm Corp., which develops and markets products tocontrol pain and treat skin and allergic disorders, has filed foran initial public offering of 2.6 million shares of common stockwith a proposed price of $12 to $14 a share.
Of the shares being offered, 900,000 would be sold by sellingstockholders, including the founder, Dr. Joel Bernstein, andcertain venture investors.
GenDerm's core technologies are focused on neuropeptide-active compounds and histamine antagonists. Neuropeptide-active compounds act selectively to block or depleteneuropeptides in the nervous system. Histamine antagonistsbind to histamine receptors and block inflammatory andallergic reactions mediated by histamine.
The Lincolnshire, Ill., company sells 18 products, 16 of them inthe United States. Four other products are under FDA reviewand six are in Phase III trials.
The leading product, Zostrix, is a non-prescriptionneuropeptide-active topical analgesic based on capsaicin forarthritis pain and neuralgias. Capsaicin affects the synthesis,transport and release of substance P, which is thought to be theprimary neurotransmitter of pain from the body's periphery tothe central nervous system.
For the year ended Dec. 31, GenDerm earned $777,000, or 6cents per share, on net sales of $19.8 million.
If the offering is completed, the company will have 12.8 millionshares outstanding. Underwriters Prudential Securities Inc.,Hambrecht & Quist Inc. and William Blair & Co. have a390,000-share overallotment option. -- Karen Bernstein
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