Karolinska with successful IPO
Stockholm – Swedish investor Karolinska Development AB outperformed its own expectations in its Initial Public Offering on the Nasdaq OMX Stockholm. The company sold 15.2 million shares at SEK40 during the offering, raising a grand total of SEK608m (EUR67.5m). That puts the value of the investment firm at SEK1.9bn (EUR211m). Originally, Karolinska had said it hoped to sell up to 11.4 million shares at SEK37-SEK42 to raise at least SEK479m (a53m). Prior to the offering, the company had estimated the value of its investment portfolio at SEK1.5bn (EUR166.6m). The fresh money will support the portfolio through early 2014. By then, Karolinska expects to see enough M&A, IPO and partnership activity to be cash-flow positive. The fund has a 50% stake on average in its 40 portfolio companies, which contain 12 clinical stage projects, six of them in Phase II. SEB Enskilda was lead manager for the offering. The first day of trading was April 15th.