BioDelivery Sciences raising $60 million through stock sale

BioDelivery Sciences International announced Monday that is raising $60 million by selling a block of shares to a group of institutional investors.

A group led by Federated Kaufmann has agreed to purchase 7.5 million shares at $8 a share in a direct stock offering. BioDelivery Sciences shares closed Monday at $8.96, up 70 cents.

The offering is expected to be completed by the end of day Tuesday.

Raleigh-based BioDelivery Sciences wil use the proceeds from the stock sale to pay for the commercialization of Bunavail, the company’s treatment for opioid dependance. The company has filed a new drug application for Bunavail, and expects to hear back from the Food and Drug Administration on June 7.

BioDeliver Sciences will also use the money to finance Phase 3 clinical trials for its drug Clonidine, a gel to treat painful diabetic neuropathy, a condition that afflicts some people suffering from diabetes. Those trials are expected to begin in the first quarter of this year.

BioDelivery Sciences stock jumped 51 percent in a single day late last month after the company reported positive clinical trial results for BEMA Buprenorphine, its experimental treatment for chronic pain.

The company is developing the treatment with Endo Pharmaceuticals, and the results triggered a $10 million milestone payment from Endo to BioDelivery Sciences.

If the second phase of the BEMA trial is successful, BioDelivery Sciences could receive a similar milestone payment later this year and possibly submit a new drug application for the drug in 2014.