Skip to main content
Premium Trial:

Request an Annual Quote

PacBio Raises IPO Target to $230M, Enacts 1-for-2 Reverse Stock Split, Prices Shares


This article, originally published Oct. 1, has been updated with information from an additional amendment of Pacific Biosciences' S-1 form.

By Bernadette Toner

Pacific Biosciences has raised the maximum aggregate offering price for its proposed initial public offering to $230 million from an initial target of $200 million (IS 8/24/2010) and has set the IPO price of its shares to between $15 and $17, according to amendments to its S-1 form filed this week and last.

The company plans to sell 12.5 million shares of common stock on the Nasdaq Global Market in the IPO. In addition, it has granted its underwriters an option to purchase up to 1.875 billion more shares of common stock to cover over-allotments. Following the offering, it will have 50.11 million shares of common stock outstanding, or almost 52 million if the underwriters exercise their over-allotment options in full.

PacBio also disclosed in the filings that it enacted a 1-for-2 reverse stock split in September. As of June 30, the company had approximately 75 million outstanding shares. Following the split, it had approximately 37 million outstanding shares as of that date.

PacBio also clarified its plans to provide methylation analysis as part of its PacBio RS platform — a capability that it initially demonstrated last September (IS 9/22/2010).

In the amended S-1 filed with the SEC on Oct. 1, PacBio said that the PacBio RS "detects changes in kinetics automatically by capturing and recording changes in the duration of, and distances between, each of the fluorescent pulses during a typical sequencing analysis," and added that the company and its collaborators "have demonstrated that this information may be a sensitive measure of chemical modification of nucleotides such as methylation."

Although the PacBio RS already records the information required to perform this analysis during a standard sequencing run, the company said in the filing that it will not enable this capability in the first commercial version of the system, but will rather offer it "as an application through future software and consumable upgrades."

The amended S-1 is the second that the company has filed since its original S-1 in August. In an amended S-1 filed last month, the company provided an update on the number of early-access instruments it has shipped and disclosed that it does not expect to recognize revenue on any orders before the end of the year
(IS 9/28/2010).

In that filing, the company also said that it plans to invest between $60 million to $70 million of net proceeds from its IPO in current and future applications of its single-molecule real-time technology; $40 to $60 million to fund future working capital needs; $20 million to $30 million to fund capital expenditures; and $40 million to $60 million for general corporate purposes. These figures were based on an IPO target of $200 million and were not updated in the latest amended filing.

The Scan

NFTs for Genome Sharing

Nature News writes that non-fungible tokens could be a way for people to profit from sharing genomic data.

Wastewater Warning System

Time magazine writes that cities and college campuses are monitoring sewage for SARS-CoV-2, an approach officials hope lasts beyond COVID-19.

Networks to Boost Surveillance

Scientific American writes that new organizations and networks aim to improve the ability of developing countries to conduct SARS-CoV-2 genomic surveillance.

Genome Biology Papers on Gastric Cancer Epimutations, BUTTERFLY, GUNC Tool

In Genome Biology this week: recurrent epigenetic mutations in gastric cancer, correction tool for unique molecular identifier-based assays, and more.