BBS-Bioactive Bone Substitutes said today that’s its planning for an initial public offering later this year it hopes will bring in some $10 million.
Oulu, Finland-based BBS said it plans to list 1.5 million shares at €5.50 apiece beginning Feb. 5 for gross proceeds of €7.7 million, or roughly $9.6 million. The shares, due to trade on the First North Finland and NASDAQ First North Sweden exchanges, would represent about 23.9% of BBS’s total shares if the flotation is fully subscribed.
Based on proteins extracted from reindeer bone, BBS’s Artebone is designed to be injected to the site of a bone fracture or defect to promote natural healing, the company said. Proceeds from the IPO are slated for completion of the application processes for both CE Mark in the European Union and FDA approval, BBS said, plus product development and commercialization.
“Orthopedic diseases are the second most common cause for disability and user of health care resources worldwide, and they increase with the aging population. An improved standard of living means that there is a desire and capability to treat even difficult bone defects, as long as effective yet safe, reasonably priced and easy-to-use methods exist,” CEO Pekka Jalovaara said in prepared remarks. “The product we have developed has features similar to a person’s own bone graft. The clinical trial ended in late 2017, and the product received good marks for functionality and safety. I believe that Artebone has great potential to succeed in the growing market for orthobiological products both in Europe and elsewhere.”
($1 = €0.804908)