Investors pile into Sage Therapeutics (NASDAQ:SAGE) +65%) today. Shares are up $11.74 from the offer price of $18.00 on turnover of 2.6M.
The clinical-stage biotech focuses on rare disorders of the central nervous system (CNS). Its lead product is SAGE-547 for the treatment of super-refractory status epilepticus (SE), a medical emergency where the patient has a seizure lasting longer than five minutes. It is associated with a high incidence of morbidity and mortality. There are ~150,000 cases of SE in the U.S. each year resulting in 30,000 deaths. SAGE-547 is currently in Phase 1/2 development.
The IPO fills the company's coffers by ~$90M, increasing its cash position to ~$137M on a pro forma basis. It burned $17.5M in operations in 2013.