CONCORD, Calif., Jan. 31 /PRNewswire/ -- Cerus Corporation (Nasdaq-NNM: CERS) today announced the initial public offering of 2,000,000 shares of its Common Stock on the Nasdaq National Market under the trading symbol "CERS." The initial public offering price was $12.00 per share and all of the shares were offered by the Company. Morgan Stanley & Co. Incorporated and Alex. Brown & Sons Incorporated co-managed the offering. Contemporaneously with the offering, the Company is making a private placement to Baxter Healthcare Corporation, the Company's corporate partner, of 496,878 shares of Common Stock of the Company at the initial public offering price less the underwriting discounts and commissions.
Cerus Corporation is developing systems designed to improve the safety of blood transfusions by inactivating infectious pathogens in blood components used for transfusion (platelets, fresh frozen plasma and red blood cells) and inhibiting the leukocyte (white blood cells) activity that its responsible for certain adverse immune and other transfusion-related reactions.
The net proceeds of this offering of $21.3 million are currently expected to be used by the Company as follows: approximately $15 million for research and development and funding of clinical trials, $3 million for general and administrative expenses, $2 million for capital expenditures, and the remaining balance of approximately $1.3 million for general corporate purposes. This balance available for general corporate purposes has been reduced from that originally estimated in the preliminary prospectus as a result of a reduction in the net proceeds of the offering. In addition, the Company will receive approximately $5.5 million in proceeds from the private placement of shares to Baxter Healthcare Corporation.
Copies of the prospectus related to the offering may be obtained from the offices of Morgan Stanley & Co. Incorporated, 1585 Broadway, New York, NY 10036, Phone 212-761-4000 or Alex. Brown & Sons Incorporated, 101 California Street, San Francisco, CA 94111, Phone 415-544-2800.
SOURCE Cerus Corp.