Millenium Pharma Set To Test The Financial Market

USA-based biotechnology and genomics company Millenium Pharmaceuticals is planning to go public, and says it is hoping to benefit from a firm market for biotechnology stocks as well as the potential interest of investors in the prospects of new drugs developed from genomic technology. However, the company admits it may be years before it reports revenue from sales or royalties, but expects continued interest in genomics to support the flotation.

3.5 million shares at $9-$11 per share are being offered by the company through brokers Goldman Sachs and Robertson Stephens & Co.

Millenium admits that it "has yet to identify any lead drug compounds or create any products." The company is, however, moving toward the development of a new antiobesity treatment in partnership with Roche (Marketletter January 15); Millenium scientists have cloned the human and mouse gene for OB (leptin) protein receptor (OB-R), and this could result in a drug candidate in due course.