Artiva plans $135M IPO to advance NK cell therapy trials

Artiva Biotherapeutics is targeting up to $135 million from an impending IPO, with the funds directed towards clinical trials for its leading allogeneic natural killer (NK) cell therapy for autoimmune diseases. Based in San Diego, Artiva revealed these plans in a filing with the Securities and Exchange Commission at the end of June and disclosed on a recent morning that it aims to sell 8.7 million shares priced between $14 and $16 each.

If the share price lands at the mid-point of this range, the company expects to generate $116.8 million in net proceeds, potentially increasing to $135 million if underwriters exercise their 30-day option to purchase an additional 1.3 million shares at $15 each.

The main focus for the raised capital will be the ongoing clinical development of a non-genetically modified, cryopreserved NK cell therapy named AlloNK. Currently, AlloNK is being tested in a Phase 1 trial for lupus nephritis, in combination with Roche’s Rituxan or Gazyva. Additionally, AlloNK is part of a separate basket study exploring multiple autoimmune indications.

A clinical readout from at least one of these indications is anticipated in the first half of 2025. Besides the lupus nephritis trial, Artiva is also conducting a Phase 1/2 trial of AlloNK for B-cell non-Hodgkin lymphoma.

Back in April, Artiva announced that the first patient had been dosed in the lupus nephritis trial. This milestone was significant as it marked the first instance of an allogeneic, off-the-shelf NK cell therapy being used in a U.S. clinical trial for an autoimmune condition.

Previously, Artiva had attracted attention from Merck & Co., which had paid $30 million upfront for global licenses for two off-the-shelf solid tumor cell therapies. However, Artiva disclosed in its initial IPO announcement last month that Merck walked away from this agreement in October 2023.

Many biotech firms that have gone public this year have struggled to maintain their share prices. The latest example is Alumis, which focuses on TYK2 inhibitors. Alumis's stock fell to $11.09 by the end of Friday trading, a 30% drop from its $16 debut on June 28.