Zealand Pharma has completed an initial public offering which has raised some 321 million Danish kroner (some 43 million euros), much less than originally planned.

The company, which is based in Glostrup, near Copenhagen, has sold 4.34 million new shares for 86 kroner each, at the low end of the price range it announced earlier this month of 86-120 kroner per share on an original offer of almost 9 million shares. That was narrowed last week to 86-90 kroner.

The company offered the coordinators of the IPO an overallotment option on a further 650,407 shares, which, if fully exercised, would bring gross proceeds to 428.8 million kroner, or 57.5 million euros.

Despite the lower figures, chief executive David Solomon was pleased that more than 700  investors had taken part, claiming that the IPO is "a significant endorsement of our company, the staff...and particularly of lixisenatide" for diabetes.

The latter is Zealand's most advanced drug and is a GLP-1 (glucagon-like peptide-1) receptor agonist out-licensed to Sanofi-Aventis. It is in Phase III trials as a monotherapy and in combination with the French giant's blockbuster Lantus (insulin glargine). Investors have not been as excited about the offering as Zealand management, however, and its shares ended their first day on the Copenhagen Stock Exchange down on the offer price at 82 kroner.