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Oyster has its eyes on Nasdaq IPO
Posted on Monday, 07 October 2019 13:01
Oyster Point Pharma, the ocular surface-focused clinical-stage biopharmaceutical company that raised USD 93.00 million in February 2019, has set a placeholder of USD 85.00 million on an upcoming initial public offering (IPO) on Nasdaq.

JPMorgan, Cowen and Piper Jaffray are underwriters on the first-time share sale, which will dilute the equity currently held by the likes of New Enterprise Associates, Versant Ventures and Invus Opportunities.

Oyster was formed in June 2015 when Oculeve spun out its DED treatment prior to its own USD 125.00 million acquisition by Allergan.

The New Jersey-based company has developed OC-01, a nicotinic acetylcholine receptor (nAChR) agonist, as a nasal spray to treat the signs and symptoms of dry eye disease (DED).

This syndrome is characterised by the loss of tear film homeostasis, which results in pain, visual impairment, tear film hyperosmolarity and instability, inflammation and corneal wounding.

According to the IPO prospectus, more than 340.00 million adults globally - and 34.00 million in the US - are estimated to suffer from DED.

In the states the disease is most commonly treated with a variety of over-the-counter eye drops and three prescription formulations approved by the US Food and Drug Administration (FDA): Restasis, Xiidra and Cequa.

Oyster’s OC-01 is designed to re-establish tear film homeostasis by activating the trigeminal parasympathetic pathway and stimulating the glands and cells responsible for natural tear film production.

The drug is now in a phase 3 clinical trial, the results of which are expected in mid-2020 and may lead to the company submitting a new drug application to the FDA in the second half of 202.

Oyster intends to use proceeds to fund this development stage and to prepare OC-01 for a commercial launch, which would include building-out a speciality sales organisation.

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