Cennerv Pharmaceuticals lodges preliminary prospectus for Catalist IPO

Singapore-based biotech Cennerv Pharmaceuticals is aiming to list on the Singapore Exchange's Catalist board.

The firm, which develops drugs to treat central nervous system disorders, lodged its preliminary prospectus on Wednesday.

Details of the pricing, amount to be raised and timing of the offering have yet to be announced.

PrimePartners Corporate Finance is the initial public offering's sponsor, issue manager and placement agent for the IPO.

Cennerv's products treat disorders such as insomnia, dementia, schizophrenia and autism. Its two lead products are Phase 2 candidates, one to treat insomnia and the other to regulate mood, cognition and behaviour.

Phase 2 is the second stage for clinical trials that test whether the drug is effective for the problem it is meant to treat.

The firm expects research and development expenses to increase this year while listing-related costs will add to operating expenses.

The firm's other three main products are in the pre-clinical phase.

Cennerv has focused on developing these five products and has yet to monetise any of them. As a result, it has not generated any revenue in the past three financial years and the first quarter of 2018. It reported losses of between $1.6 million to $1.7 million for the 2015 to 2017 financial years and a loss of $465,690 for the first quarter of this year.

The firm expects research and development expenses to increase this year while listing-related costs will add to operating expenses.

Its plans include developing and monetising its key drug products, identifying additional applications for them and acquiring more drugs, and expanding its business.

The proceeds of the all-placement offering will be used to further develop its products and acquire a 60 per cent stake in Gemini Therapeutics, a United States drug developer.

Some of the proceeds will also be used for working capital.

Cennerv chairman Anil Kumar Ratty is also the company's largest shareholder. He has agreed to an 18-month moratorium during which he will not sell any of his shares.

A version of this article appeared in the print edition of The Straits Times on September 22, 2018, with the headline 'Cennerv Pharmaceuticals lodges preliminary prospectus for Catalist IPO'. Print Edition | Subscribe