Merrion set for €35m flotation

MERRION Pharmaceuticals, the Dublin-based drug development company, is to launch a €35 million flotation on the Irish and Nasdaq stock markets.

The company said the proceeds of the flotation, which is expected to happen next month, will be used to fund clinical trials and testing of its potential products.

Merrion was founded in 2004 by Mike McKenna and bought its drug delivery patents from Elan. The company has undergone a number of funding rounds and its major shareholder is family of Ryanair founder Tony Ryan.

Merrion did not say how many shares it would issue or give an indicative flotation price.

In its initial filing with the US Securities & Exchange Commission, Merrion said it is working on four products: two in the oncology area, one for those suffering from osteoporosis and an anticoagulant.

“In addition, we have agreements with three pharmaceutical companies to examine the potential for the application of our technologies to products in areas which include oncology and neurodegenerative diseases,” Merrion said.

The company is chaired by Declan Ryan, the son of Tony Ryan, and the board contains experienced executives from the pharmaceutical industry, including former Trinity Biotech and Spectel chief financial officer Jonathan O’Connell and former PricewaterhouseCoopers partner Pat Wall.

Late last year Merrion raised €8m from investors including the Ryans. This followed on from an earlier €6m funding round.