The biopharmaceutical spinout of University of Veterinary Medicine Vienna is issuing 400,000 shares in an initial public offering that is set to fetch between $34m and $41m.

Marinomed Biotech, an Austria-based biopharmaceutical spinout of University of Veterinary Medicine Vienna (VetMedUni), has filed for a €30m to €36m ($34m to $41m) initial public offering on the prime market segment of the Vienna Stock Exchange.

The company, 10% of which is currently owned by state-owned development bank Austria Wirtschaftsservice, plans to issue 400,000 shares priced at €75 to €90, with up to 20% of additional shares allocated to an upsize option and 15% allocated to the greenshoe option. The final offer price is expected to be announced on November 29 before the spinout lists on December 4.

Founded in 2006, Marinomed Biotech has created two platforms – Carragelose is aimed at viral infections of the respiratory tract and forms the basis of nasal sprays, throat sprays and lozenges, while Marinosolv boosts the efficacy of hardly soluble compounds aimed at sensitive tissues such as the eyes and nose.

Proceeds will go towards a phase 3 study of Budesolv, a treatment for hay fever, and phase 2 and 3 trials of immunosuppressant Tacrosolv. The money will also support an extension of the Carragelose platform.

The initial public offering will be open to retail and institutional investors in Austria and, through a private placement, to selected institutional investors in other geographies, including the US.

VetMedUni’s commercialisation arm VetWidi Forschungsholding owns a 3.7% stake in the spinout ahead of the offering, while investment firm Acropora is the largest shareholder in Mariomed with a 33.3% stake.

Hermann Unger, head of the Laboratory of Tropical Veterinary Medicine at VetMedUni owns a 13%. Chief executive and co-founder Andreas Grassauer owns 12.8%, the same shareholding as co-founder and chief scientific officer Eva Prieschl-Grassauer.

Other significant shareholders include Invest AG, the investment arm of financial services firm Raiffeisenbankengruppe Oberösterreich (10.3%).