BIOCANCELL IPO OVERSUBSCRIBED BY 3.45%
The Israel Export & International Cooperation Institute, Start-up division
16th August 2006
Biocancell Therapeutics Ltd.’s IPO benefited from both investor confidence in the company and lucky timing. Scheduled during the war, it was held on the day the cease-fire went into effect, when trading on the Tel Aviv Stock Exchange (TASE) was mixed.
The offering was closed at the minimum price of NIS 264.40 per unit of 100,000 shares and warrants. Investment institutions had previously placed orders for 63% of the units, in a tender held last month.
Biocancell develops cancer treatments that are now undergoing Phase I clinical trials for the US Food and Drug Administration (FDA). Biocancell founder Prof. Avraham Hochberg discovered a gene that expresses 31 types of cancerous tumors, but which is not expressed in ordinary cells. The company has developed a method for using a receptor encoded in the gene to specifically insert diphtheria toxin into cancer cells only. The product is now undergoing trials for the treatment of bladder cancer. The first trials on human bladder and liver cancer patients indicated that the treatment was effective and safe.
Following the IPO, in addition to the public, Biocancell is owned by Hochberg, Yissum Technology Transfer Company of the Hebrew University of Jerusalem, and the university’s royalties fund.