AAA Gritstone girds itself for $80m IPO

Gritstone girds itself for $80m IPO

US-based immuno-oncology therapy developer Gritstone Oncology has filed for an $80m initial public offering that would allow internet and technology group Alphabet and pharmaceutical company Eli Lilly to exit.

Gritstone is developing of cancer immunotherapies focusing on specific types of tumour, harnessing the body’s immune system to destroy cancer cells by helping it recognise their tumour-specific neoantigens.

The IPO proceeds will go to a phase 1/2 clinical trial for a personalised immunotherapy drug candidate known as GRANITE-001, as well as research and development activities and the ongoing construction of Gritstone’s manufacturing facility.

The company filed for the IPO on Friday last week, the day after it disclosed a $10m investment by gene therapy producer Bluebird Bio in connection with a licensing and development agreement, increasing its overall equity funding to $205m.

Lilly Asia Ventures, a corporate venturing vehicle for Eli Lilly, had led a series B round for Gritstone in September 2017 that included GV, an early-stage investment subsidiary of Alphabet.

Alexandria Venture Investments, the VC arm of life sciences real estate investment trust Alexandria Real Estate Equities, also backed the 2017 round, as did Trinitas Capital, Versant Ventures, Column Group, Clarus Funds and Frazier Healthcare Partners.

Versant Ventures and Column Group had already led the company’s series A round in 2015, investing together with with Clarus Funds, Frazier Healthcare, Redmile Group, Casdin Capital and special purpose vehicle Transformational Healthcare Opportunity.

Although Gritstone placed the sizes of the series A and B rounds at $102m and $92.7m respectively at the time, the IPO filing put their sizes at $61.3m and $96m. It also revealed $21m in series C funding from investors including Redmile, raised between June and August 2018.

Lilly Asia owns a 6.3% stake in the company, whose other main shareholders are Versant and Column Group (14% each), Clarus (10.1%), Frazier Healthcare, Trinitas (8.4% each) and Redmile (6.3%).

Goldman Sachs, Cowen and Company, Barclays Capital and BTIG have been appointed underwriters for the offering, which is set to take place on the Nasdaq Global Market.

Leave a comment

Your email address will not be published. Required fields are marked *