Key facts
- ADARx Pharmaceuticals raised $446.3 million in its US IPO.
- The company sold 26.3 million shares at $17 each, exceeding its initial plan.
- AbbVie agreed to invest up to $100 million in a concurrent private placement.
- City Therapeutics and Iambic Therapeutics filed for US IPOs this week.
- Electra Therapeutics raised $350 million in an upsized US IPO last Friday.
ADARx Pharmaceuticals raised $446.3 million in an upsized U.S. initial public offering on Thursday, signaling continued investor interest in the biotechnology sector. The San Diego-based drug developer sold 26.3 million shares at $17 each, the top end of its marketed range, surpassing its earlier plan to sell 21.9 million shares.
Biotech has been a strong performer in this year's IPO market, with a consistent stream of listings continuing into the fall. Investors are favoring the sector's perceived insulation from geopolitical events like the Iran war and disruptions caused by artificial intelligence advancements. This week, drug developers City Therapeutics and Iambic Therapeutics also filed for U.S. IPOs, following Retension Pharmaceuticals and TRex Bio last week.
Electra Therapeutics previously raised $350 million in an upsized U.S. IPO before its market debut last Friday, though its shares have since declined approximately 21%. ADARx, founded in 2019, focuses on experimental drugs for diseases related to immunity, kidney, cardiovascular, and neurological systems. Its most advanced candidate, onvuzosiran, is in late-stage testing for hereditary angioedema. Drugmaker AbbVie has agreed to invest up to $100 million in a concurrent private placement, which would result in a roughly 4.9% stake post-IPO.