7/27/2019 Stradling Assisting on IPOs
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Stradling assisting on IPOs
By Dominic Fracassa
Daily Journal Staff Writer
Stradling Yocca Carlson& Rauth PC has helpedtwo San
Diego-basedbiotechnology compa-
nies in the past two weeks an-nounce plans to conduct
initialpublic offerings.
At least eight biotech compa-nies with headquarters in thelife
sciences hub of San Diegohave taken to the public mar-kets in
2013.
Tandem Diabetes Care Inc.disclosed its IPO plans Mon-day. The
company, which devel-ops consumer-friendly insulinpumps, intends to
raise up to$100 million on the Nasdaqstock exchange, according
tothe preliminary public ling.
Stradlings team on Tandemsplanned offering was led byNewport
Beach shareholderBruce Feuchter with support
from shareholders
Ryan C.Wilkins and by Timothy F.OBrien, who splits his
timebetween Newport Beach andSan Diego.
Stradling is also counselingBiocept Inc., which indicated ina
Sept. 23 ling with the Securi-ties and Exchange Commissionit will
seek $23 million in anIPO on the Nasdaq. San Diegoshareholders
Michael J. Brownand Hayden J. Trubitt and New-
port Beach shareholder Mi-chael L. Lawhead are leadingthe team
advising Biocept.
According to their rstpublicly available lings, both
Tandem and Biocept took ad-vantage of a provision in
theJumpstart Our Business Start-ups Act of 2012 permitting
com-panies with less than $1 billionin revenue initially to le
theirregistration statements con-
dentially with the SEC.Clifford Chance US LLP iscounseling the
underwriting
syndicate in connection withTandems offering. Mintz,Levin, Cohn,
Ferris, Glovskyand Popeo PC is representingthe underwriters in
BioceptsIPO.
Stradlings attorneys couldntcomment on either IPO di-rectly,
citing a self-imposedquiet period following the of-
fering announcements. But inan email to the Daily
Journal,Lawrence B. Cohn, chair ofthe rms life science
practicegroup, said Stradling is posi-tioning itself to take
advantageof opportunities arising out ofthe biotech industrys
contin-ued push to raise money in thepublic markets.
We view our involvement inthese offerings as a continuingstep
arising out of our many
years of deep involvement inthis community, Cohn wrote.For the
past few years theonly viable exit for the foundersof and investors
in emerginggrowth life science companieshas been through
acquisitionby a global consolidator or pri-
vate equity fund. Now, the IPOmarket is more open.
Its a trend that has keptother corporate lawyers busy
this year, including San Di-ego-based Cooley LLP partnerCharles
S. Kim. Kim said hescurrently working on a double-digit volume of
biotech IPOs,about half of which are for SanDiego companies.
Kim said the urry of IPOactivity coming out of SanDiego is
likely attributable totwo things: market timing andmanagerial
talent. During thenations economic recession,
many biotech companies had toput the brakes on their plans togo
public and are only restart-ing their efforts now that the
window into public marketshas been reopened, he said.Other IPOs
are the productsof serial entrepreneurship experienced
managementteams selling a company andthen starting up a new
venturethat, in some cases, gets taken
public.The more I do this, the moreI see how critical the
manage-
ment is, Kim said. Having agreat management team with
vision is absolutely crit ical inhaving these companies suc-
ceed.
[email protected]
Attorneys are helpingtwo San Diego-based biotechnologycompanies
go public
BROWN
FEUCHTER
TRUBITT
THURSDAY, OCTOBER 10, 2013
www.dailyjournal.com
LOS ANGELES
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