The South San Francisco-based company is working on STS101, a nasal powder version of dihydroergotamine for migraine. It intends to use the money to fund its Phase 3 safety and efficacy clinical trials for STS101, manufacturing costs, preparation for the product’s commercial launch and for working capital and general corporate purposes.
The powdered version of the drug would be self-administered using a proprietary pre-filled, single-use, nasal delivery device.
Satsuma is offering 5 million shares of its common stock at a range of range at $14 to $16 per share and has applied to list its common stock on The Nasdaq Global Market under the symbol “STSA.” Credit Suisse, SVB Leerink and Evercore ISI are acting as joint book-running managers for the offering.
Satsuma expects to grant the offerings’ underwriters a 30-day option to purchase up to an additional 750,000 shares of common stock at the public offering price, less underwriting discounts and commissions.
In April, the company raised $62 million in a Series B preferred stock financing, led by Wellington Management.
Satsuma said it began the Phase 3 efficacy trial in July and expects to report topline data in the second half of 2020.