Update - facility expansion to continue
Therapure postpones IPO citing market conditions
The contract development and manufacturing organisation (CDMO) filed a preliminary prospectus filed with Canadian Securities Regulators in December.
At the time the firm said it was going public to raise funds “for plant expansion" and the development of its therapeutic biologics business.
However, today Therapure said: “While the business is performing above expectations and investor feedback about the quality of management and the company was very positive, the company makes this decision in light of the current market environment, in which no IPOs were concluded in the US or Canada in January.”
A Therapure spokesman reiterated this, telling us: "Given the current environment for any and every IPO, it’s too early to speculate about exactly when Therapure would go back to the market.
"Since investors saw that Therapure is performing above expectations, and were impressed with the company’s management and strategy, this will give the company a head start when the external environment is right.
The spokesman stressed that: "The Catalyst Capital Group remains excited about and committed to the company, as do the underwriters. We’ll all be ready when the right time comes."
He added that: "Therapure remains committed to its growth strategy, and the company can continue to the next stage of its plant without immediate third-party funding."
Under the IPO plan Therapure planned to raise C$130m.
Therapure's 130,000 sq ft facility in Toronto makes intraveneous immunoglobulin (IVIG) and albumin-based therapies for both its own pipeline as well as for drug industry customers.
The site has seen a number of investments in equipment and additional clean room space since the firm was set up in 2008 by Canadian private equity fund Catalyst Capital Group, as well as C$17m ($13m) worth of investment from its clients.
Therapure's customer base includes french firm LFB, for which it makes plasma proteins, and Insmed.