Endocyte Prices IPO After Cutting Expected Price Twice

| About: Endocyte, Inc. (ECYT)
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Endocyte (NASDAQ:ECYT), a biopharmaceutical company developing therapies for the treatment of cancer and inflammatory diseases, priced its IPO on February 3rd, after cutting its expected price twice to $6 per share.

Business Overview (from prospectus)

We are a biopharmaceutical company developing targeted therapies for the treatment of cancer and inflammatory diseases. We use our proprietary technology to create novel small molecule drug conjugates, or SMDCs, and companion imaging diagnostics. Our SMDCs actively target receptors that are over-expressed on diseased cells, relative to healthy cells. This targeted approach is designed to enable the treatment of patients with highly active drugs at greater doses, delivered more frequently, and over longer periods of time than would be possible with the untargeted drug alone. We are also developing companion imaging diagnostics for each of our SMDCs that are designed to identify the patients whose disease over-expresses the target of the therapy and who are therefore more likely to benefit from treatment. This combination of an SMDC with its companion imaging diagnostic is designed to personalize the treatment of patients by delivering effective therapy, selectively to diseased cells, in the patients most likely to benefit.

Offering: 12.5 million shares at $6 per share. Net proceeds of this offering will be used to fund phase 3 clinical trial of EC145 and EC20 in PROC.

Lead Underwriters: RBC Capital Markets, Leerink Swann

Financial Highlights:

To date, the company has not generated any revenue from sales of drugs. All the revenue has been derived from license fees and grants.


The biotechnology and pharmaceutical industries are highly competitive. There are many pharmaceutical companies, biotechnology companies, public and private universities and research organizations actively engaged in the research and development of products that may be similar to our SMDCs. A number of multinational pharmaceutical companies and large biotechnology companies are pursuing the development of or are currently marketing pharmaceuticals that target ovarian cancer and NSCLC, or other oncology pathways on which we are focusing. It is possible that the number of companies seeking to develop products and therapies for the treatment of unmet needs in oncology will increase.

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