First German IPO in 2005

Paion, a German biotech firm that is developing an anti-stroke treatment from the saliva of vampire bats, became the first company to go public in Germany this year, with shares moving higher on Friday, their first day of trading on the Frankfurt stock exchange. In late morning trade, shares in Aachen-based Paion were changing hands at €8.39, comfortably above their issue price of €8.00. Paion issued around 500 million shares by way of the initial public offering (IPO), raising some €40 million ($51.2 million), which would be used to help finance the new treatment. Paion is currently developing an anti-stroke treatment, Desmoteplase, which is based on a protein isolated from the saliva of vampire bats. The bats' saliva prevents blood clotting when they bite, ensuring that the blood keeps flowing while they feed. The treatment, which is due to start phase III of clinical trials next month, has potential benefits for stroke victims as it could help dissolve brain blood clots.