Key facts
- ADARx Pharmaceuticals targets a valuation of up to $1.74 billion in its US IPO.
- The company aims to raise $371.9 million by offering 21.9 million shares.
- The proposed share price range is between $15 and $17.
- AbbVie will acquire a roughly 4.9% stake in ADARx Pharmaceuticals.
- ADARx Pharmaceuticals plans to list on Nasdaq under the symbol ADRX.
ADARx Pharmaceuticals is seeking to achieve a valuation of up to $1.74 billion in its U.S. initial public offering, as investor interest in biotech listings shows signs of strengthening. The San Diego, California-based company aims to raise as much as $371.9 million by offering 21.9 million shares priced between $15 and $17 each. The backdrop for new listings has been complicated by a sharp rise in Treasury yields and increased interest rates, which have made IPO valuations more challenging to establish. AbbVie has agreed to purchase shares in a concurrent private placement that will give it an approximate 4.9% stake in ADARx Pharmaceuticals following the IPO. JP Morgan, Morgan Stanley, TD Cowen, UBS Investment Bank, and LifeSci Capital are serving as underwriters for the offering. The company plans to list its shares on the Nasdaq under the ticker symbol "ADRX".
Meanwhile, drug developer Iambic Therapeutics, backed by chip giant Nvidia and Qatar's sovereign wealth fund, filed for a US initial public offering on Monday, bolstering a busy slate of biotech listings. Retension Pharmaceuticals and TRex Bio also filed for US IPOs on Friday. Analysts note that biotech listings have remained relatively insulated from broader market pressures, driven by drug advancement and M&A activity.