I expect the Nyrada IPO to be oversubscribed, especially now...

I expect the Nyrada IPO to be oversubscribed, especially now that Novartis has offered to pay US$ 9.7 BILLION to acquire The Medicines Company, which has a single drug – a PCSK9 inhibitor - that needs to be injected. Nyrada is developing a PCSK9 inhibitor that can be taken orally and which is expected to be combined with an existing statin into a single pill. Big Pharma companies tried to develop an oral version, but failed.

Christopher Cox, non-executive director of Nyrada, served as Executive Vice President and Chief Corporate Development Officer at The Medicines Company from February 2016 to March 2019, where he was responsible for business development and strategy. Over that time he appears to have paid US$ 14 million for MDCO stock that is now worth US$ 28 million, yet he has agreed to join micro-stock Nyrada and to participate in the IPO. I wonder why?

I expect Noxopharm to send an email to shareholders once the quiet period ends, that sets out the situation for shareholders and the procedure to be followed for those wishing to take part in the IPO. I also expect Noxopharm shareholders to be given priority when IPO allocations are made, but anyone planning to apply will need to get ready. The offer period should open Wednesday 4 December and close on Monday 16 December, but there is always the chance it will be close early if over-subscribed.

Disclosure: I hold Nyrada Convertible Notes