Warburg Pincus invests $75mm in Inspire Pharmaceuticals

Inspire Pharmaceuticals, which is developing compounds for dry eye, cystic fibrosis, and allergic rhinitis, sold $75mm of its preferred stock to Warburg Pincus. The private equity firm may exchange a preferred share for 100 common shares at $5.35 each (the average price at deal announcement was $5.76). A Warburg managing director has joined the company's board. Inspire will use the money to support the launch of newly approved AzaSite for pink eye (licensed from InSite Vision in February) and to develop its Phase III candidates. NOTE: An Inspire quarterly filing reveals that 140k Series A preferred shares were exchanged for 14mm common shares resulting in net proceeds of $73.6mm.