SciGenics Inc. on Thursday completed its initial public offeringof 1.8 million units at $22 per unit, raising $40 million in adeal that investors may have found more attractive than otherrecent IPOs.

Each unit consists of one share of common stock in SciGenicsand one warrant to purchase one share of Genetics InstituteInc. common stock. The units (NASDAQ:SCGNZ) will be tradedthrough Nov. 30, 1992. Thereafter the SciGenics stock and theGI warrants will trade separately. The exercise price of thewarrants is $35.92.

SciGenics is the only one of three companies to complete anIPO in the past week within its hoped-for range. IsisPharmaceuticals Inc. and ImmuLogic Pharmaceutical Corp.lowered both the price and number of shares offered.

"The SciGenics deal involved a product, M-CSF (macrophagecolony stimulating factor), that's already in multiple clinicaltrials with an excellent safety profile," said Mark Simon, abiotech analyst at Robertson, Stephens & Co. in San Francisco.M-CSF is on the verge of entering Phase I/II efficacy trials forcardiovascular, cancer and infectious diseases, said Simon. Incontrast, neither Isis nor ImmuLogic have products in theclinic.

SciGenics, a Cambridge, Mass., shell company created byGenetics Institute, will pay GI to conduct research anddevelopment on M-CSF and on embryonic growth and regulatoryproteins.

GI has the option to reacquire the rights to either program orto acquire all SciGenics shares for predetermined amounts.

SciGenics units closed unchanged Thursday at $22.

-- Karen Bernstein BioWorld Staff

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