McGuireWoods advised underwriters B. Riley Securities Inc. and Roth Capital Partners in a $35.2 million initial public offering of common stock by Journey Medical Corp., a spinoff from parent company Fortress Biotech (Nasdaq: FBIO). The transaction closed Nov. 16, 2021.
The transaction follows an earlier financing round, in which the firm represented the placement agents in the issuance of Journey convertible preferred stock, providing critical financing necessary to bridge the company’s operations until the IPO.
Riley Securities, a leading full-service investment bank, provides corporate finance, advisory, research, and sales and trading services to corporate, institutional and high-net-worth clients. Roth Capital Partners, also a full-service investment bank, provides strategic and financial advisory services to emerging growth companies and their investors.
Journey Medical (Nasdaq: DERM) is a commercial-stage pharmaceutical company that focuses on the development and commercialization of pharmaceutical products for the treatment of dermatological conditions.
New York partner Stephen Older and Charlotte partner Rakesh Gopalan led the deal team, which included Charlotte counsel David Wolpa, Richmond partner Anitra Cassas and New York associate Samar Khan. All are members of the firm’s Securities & Capital Markets Department. Charlotte partner Kate Hardey and Chicago associate Royce DuBiner provided healthcare regulatory advice and Dallas counsel William Li provided intellectual property advice.
This transaction marks the fifth IPO McGuireWoods’ securities and capital markets practice has completed in 2021.
“This transaction continues to showcase our depth of experience in our IPO practice, which has expanded over the past several years to include a broad cross-section of industries, with the firm advising from both the underwriter and issuer perspectives,” Older said.