Derma Sciences, Inc. (the “Company”) (Nasdaq: DSCI), a medical device and pharmaceutical company focused on advanced wound care, today announced the closing of an underwritten public offering of 3,521,300 shares of common stock at a price to the public of $10.34 per share, which includes the exercise of the underwriters’ option to purchase 459,300 shares of common stock to cover over-allotments. Piper Jaffray & Co. was the sole book-running manager in the offering, with Oppenheimer & Co. Inc. and Canaccord Genuity Inc. acting as co-managers and Roth Capital Partners acting as financial advisor to the Company.
Total net proceeds to the Company were approximately $33.8 million after deducting the underwriting discount and estimated offering expenses. The Company plans to use these proceeds for the continued development of its drug candidate DSC127 for the treatment of diabetic foot ulcers and for general corporate purposes.
“The closing of this offering is a significant achievement in supporting our strategy of leadership in advanced wound care,” said Edward J. Quilty, president and chief executive officer of the Company. “We plan to begin our Phase 3 studies with DSC127 in diabetic patients with non-healing foot ulcers in the coming weeks and we believe the capital raised through this offering provides the Company with the financial strength and opportunistic flexibility to maximize shareholder value.
“In the meantime,” Mr. Quilty continued, “we continue to focus activities on our commercial advanced wound care product line, and our dedicated sales force continues to offer a wide variety of technologically innovative, high-margin products to the 1,200 wound care centers across the U.S. and select international markets.”
The offering was made pursuant to a shelf registration statement (No. 333-173870) that was previously filed with and declared effective by the U.S. Securities and Exchange Commission (“SEC”) and a registration statement (No. 333-185298) filed with and declared effective by the SEC pursuant to Rule 462(b) promulgated under the Securities Act of 1933, as amended.