US-based genomic testing products developer Decipher Biosciences has filed for a $100m initial public offering that would offer exits for pharmaceutical firm Merck & Co and managed healthcare company UnitedHealth Group.
Terms for the offering, set to take place on the Nasdaq Global Market, have not yet been set. Evercore ISI and Wells Fargo Securities have been appointed joint book-running managers, while Canaccord Genuity and BTIG are serving as co-managers.
Founded in 2008 as GenomeDx Biosciences, Decipher specialises in urologic oncology and markets genomic tests for prostate and bladder cancers.
The company currently anticipates using proceeds from the IPO to repay a portion of a loan and fund general corporate purposes.
Aeris Capital, Baird Capital and CD Ventures supplied a 2012 series A round, before Merck & Co’s Global Health Innovation led a series B round in 2013 – both of unconfirmed size.
A filing in 2016 suggested the company had secured $25.4m in funding, but Decipher’s draft prospectus notes the multi-tranche series C round closed in 2017 at $40.9m and was backed by Merck & Co as well as EVP Technology Fund.
UnitedHealth Group Ventures, the investment arm of UnitedHealth Group, then joined Merck & Co, EVP, Baird, Tekla Capital Management, CRG, and Yonghua International for a $15.7m series D round in 2018.
The same consortium was joined by CD Venture for a $20.6m series 3 round in early 2019, before the group returned in June 2020 for a $9.5m series 4 round.
UnitedHealth Group holds an 11.4% stake ahead of the offering, while Merck & Co owns 8.8%. Other notable shareholders include Yonghua (14.7%), CRG (14.3%), Tekla (13.9%), CD-Venture (6.1%) and Novalis LifeSciences Investment (5.4%).
