US-based small molecule drug developer Zentalis Pharmaceuticals has filed for a $100m initial public offering on the Nasdaq Global Market that could give research services firm Pharmaron the opportunity to exit.
Zentalis is developing oncology drugs intended to target the biological pathways of cancers, using a proprietary drug discovery engine to locate targets and create small molecule chemical entities.
Part of the IPO proceeds have been earmarked for ongoing phase 1/2 clinical trials for an advanced or metastatic breast cancer candidate known as ZN-c5 and for ZN-c3, which is being developed to treat advanced solid tumours.
The company also intends to support an ongoing phase 1/2 trial for a third candidate, ZN-e4, in non-small cell lung cancer, while advancing an AML or B-cell lymphoma candidate known as ZN-d5 into a phase 1 trial.
Zentalis said in the filing it has raised a total of $162m. Its last round was an $85m series C in December 2019 featuring Matrix Capital, Viking Global Investors, Redmile Group, Farallon Capital, Perceptive Advisors, Eventide Asset Management and Surveyor Capital.
Pharmaron was at the time listed as an investor in Zentalis along with Alexandria Venture Investments, which represents real estate investment trust Alexandria Real Estate Equities, and Highlight Capital.
The IPO filing reveals the company also secured $34m in a December 2017 series B round. It states the only investors to own stakes of 5% or more are holding vehicle Recurium Equity, Matrix Capital and Viking Global, without detailing their exact sizes.
Morgan Stanley, Jefferies, SVB Leerink and Guggenheim Securities have been appointed underwriters for the offering.
