Grail, the oncology testing technology developer spun off from genomics technology producer Illumina, plans to raise up to $1bn in new funding, Bloomberg has reported, citing people familiar with the matter.
The fundraising is still in the preliminary process but Grail has appointed advisers, the sources said. Reports in February this year suggested it was preparing for a $500m initial public offering in Hong Kong, and the funding would be raised in advance of the flotation.
Founded in 2016, Grail is developing a blood test that would be able to screen for cancer at an earlier stage when treatments are more effective.
The company expects to launch its first product, a test for nasopharyngeal cancer, which is most widespread in Southeast Asia and southern China, later this year. It has so far raised about $1.35bn in funding.
Illumina co-led Grail’s $125m series A round with venture capital firm Arch Venture Partners in 2016, a round that also featured Sutter Hill Ventures, Bezos Expeditions and private investor Bill Gates.
Grail subsequently closed a $1.21bn series B round backed by e-commerce firm Amazon, pharmaceuticals supplier McKesson, medical device maker Varian, internet group Tencent and pharmaceutical companies Bristol-Myers Squibb, Celgene, Merck & Co and Johnson & Johnson in November 2017
Other investors in Grail include GV, the corporate venturing subsidiary of internet and technology group Alphabet formerly known as Google Ventures, and-focused life science investment firm Decheng Capital.