DRRX Prices Offering At $1.25/Share

(RTTNews) - DURECT Corp. (DRRX) has offered to sell 12 million shares of its common stock to the public at a price of $1.25 each.

The offering, which is slated to close on or about April 29, 2016, is expected to bring in gross proceeds of about $15 million. At year-end 2015, the company had cash of $29.3 million.

The underwriters have a 30-day option to purchase up to an aggregate of 1.8 million shares.

One of the major research products of the company is REMOXY, a novel long-acting oral formulation of the opioid oxycodone which is targeted to decrease the potential for oxycodone abuse.

Pain Therapeutics Inc. (PTIE) holds the right to develop and commercialize REMOXY on a worldwide basis under an agreement signed with DURECT in December 2002.

REMOXY is under FDA review with a decision date set for September 25, 2016. REMOXY had been at the FDA altar twice before, and it was issued a complete response letter on both the occasions - in December 2008 and in June 2011. It remains to be seen if the third time will be the charm for REMOXY.

DRRX closed Tuesday's trading at $1.34, down 5.63%.