Some of the proceeds from Intensity's IPO will be used to push INT230-6 into a phase 3 trial for sarcoma, as well as develop a second candidate. If we’re looking for green shoots in 2023, then the trickle of IPOs in recent weeks is a good place to start. Mineralys Therapeutics announced a $100 million IPO earlier in the month, and now Structure Therapeutics has put the finishing touches to its own nine-figure Nasdaq offering. The San Francisco and Shanghai-based biotech confirmed in an SEC filing today that it would be offering almost 9 million American depositary shares—representing close to 27 million ordinary shares—priced between $10 and $15 per ADS. Assuming the final price ends up in the middle of that range, the company is expecting a haul of $111.5 million, rising to $129 million if underwriters decide to buy up additional ADSs available.
The biotech also has another candidate in the clinic in the form of ANPA-0073, which targets a GPCR called APJR. The therapy has already completed an early stage study in idiopathic pulmonary fibrosis and pulmonary hypertension and Structure has plans for a phase 2 trial. In the summer, the company added an additional $33 million to an oversubscribed financing round, bringing total series B funding to $100 million. A far more modest IPO is also in the works courtesy of Intensity Therapeutics, which is offering over 1.7 million shares of common stock at an estimated price of $4.50 apiece. If all goes to plan, the cancer-focused company expects total proceeds of $6.1 million, rising to $7.2 million if underwriters take advantage of the option to secure additional shares, according to an SEC filing. Some of the expected proceeds from the IPO will be used to push INT230-6 into a phase 3 trial for sarcoma, as well as develop a second candidate in INT33X, which is currently being tested in mice. Analysts will be keeping a close eye on whether IPOs pick up over the coming weeks as a sign of a potential biotech market recovery. While 2021 saw record-breaking listings, valuations began to cool toward the end of the year, with experts’ predictions of a slump in 2022 proving correct as emerging biotechs watched their peers list their tickers just to take a beating and ultimately trade well below their initial price.
Still, there were some signs the scene was beginning to heat up again later in 2022, with Third Harmonic’s $185 million IPO in late August and Prime Medicine’s $175 million offering in October being two notable examples. Mineralys’ filing came the same day that Alzheimer’s-focused Aprinoia Therapeutics inked a SPAC merger—a once popular way for biotechs to go public while avoiding the traditional IPO route.