Biofrontera AG plans to offer its American depositary shares, each representing two ordinary shares, in an IPO at a price range between $11.00 and $13.00 per ADS to raise about $15 million.
The Germany-based biopharmaceutical company has applied for the ADSs to be listed on the Nasdaq Capital Market under the symbol BFRA. The underwriters have the option to buy additional ADSs.
Separately, Biofrontera plans to make a rights offering of its ordinary shares which will be priced at the same as the price per ADS at which the American depositary shares are being offered in the U.S. offering.
The company is offering 6 million newly issued shares in both offerings combined.
Net proceeds from this offering will be about $12.07 million, or $14.14 million if the underwriters' overallotment option is exercised in full.
Biofrontera plans to use the net proceeds from this offering to increase its marketing and sales organization in the U.S. It also intends to use the proceeds to continue to fund clinical trials of its principal product Ameluz and to make regulatory filings for marketing approval of the product.
The company will use the remainder of the net proceeds for general corporate purposes.
The Benchmark Co. LLC, Dawson James Securities Inc. and Lake Street Capital Markets LLC are acting as underwriters in the offering.
