Satsuma Pharmaceuticals Files for $80 Million IPO

September 12, 2019

Satsuma Pharmaceuticals file the paperwork for an $80 million IPO on 9/11/19. The company is developing a nasal delivery form of dihydroergotamine mesylate (DHE) for treating migraine headaches. Satsuma will trade on NASDAQ under the symbol “STSA.”

Satsuma's lead candidate, STS101, incorporates a proprietary dry-powder nasal formulation of DHE and delivery device technologies invented, developed and optimized over more than 15 years by a dedicated team at Japan-based Shin Nippon Biomedical Laboratories. DHE was first marketed in the US in 1946 as an injectable treatment for migraine.

The company believes that its dry powder formulation offers advantages over current liquid nasal spray DHE treatments. Satsuma has completed a Phase 1 clinical trial in 42 healthy volunteers, in which STS101 demonstrated rapid and sustained DHE plasma concentrations, low pharmacokinetic variability, and a favorable safety and tolerability profile. In July 2019, they initiated a Phase 3 EMERGE efficacy trial of STS101 and expect to report topline data in the second half of 2020.

Satsuma expects to use the proceeds from the offering in the following areas:

  • approximately $18.0 million to $22.0 million to fund our Phase 3 EMERGE efficacy trial for STS101;
  • approximately $20.0 million to $25.0 million to fund our Phase 3 safety trial for STS101;
  • approximately $10.0 million to $12.0 million to fund manufacturing activities relating to STS101; and
  • any remaining amounts to prepare for the commercial launch of STS101 and for working capital and general corporate purposes.


In April of 2019, the company raised $62 million in a Series B round. Investors included: existing investors RA Capital Management, TPG Biotech, and Shin Nippon Biomedical Laboratories, and new investors, Osage University Partners, CAM Capital, Surveyor, Eventide Asset Management, Cormorant, Lumira Ventures, and SBI Investment.


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