InflaRx, a Germany-based monoclonal antibody developer backed by pharmaceutical company Staidson and mechanical engineering group Ammann Group Holding, will raise $100m in its initial public offering after pricing its shares today.
The company will issue 6.67 million shares on the Nasdaq Global Select Market in the US, priced at $15.00 each, in the middle of the IPO’s $14 to $16 range.
InflaRx is developing treatments for autoimmune and other inflammatory diseases that will work by inhibiting an inflammatory mediator called C5a. Its lead drug candidate, IFX-1, will address an inflammatory skin disease called Hidradenitis Suppurativa (HS).
The company intends to invest $20m of the IPO proceeds in a phase 2b clinical trial for IFX-1 in HS patients, and $18m in a phase 2 trial for the drug in an autoimmune disease known as ANCA-associated vasculitis. The rest will fund research and development activities and additional clinical trials.
The offering follows a $55m series D round closed by InflaRx last month, consisting of $30m in equity funding and a $25m secondary share purchase. Bain Capital Life Sciences (BCLS), Cormorant Asset Management and RA Capital Management provided the capital.
Staidson Hong Kong Investment, a subsidiary of Staidson Biopharmaceuticals, joined investors including Ammann and development bank KfW for the company’s $34m series C round in July 2016. It had secured approximately $3.7m in a 2014 series B round, according to the IPO filing.
InflaRx’s largest shareholder is Staidson Hong Kong, the owner of a 12.5% stake that will be diluted to 9.2% in the offering, while Ammann’s 6.5% share of the company will be cut to 4.8%.
Private Equity Thüringen will have a 7.7% stake post-IPO, while other notable shareholders include RA Capital and BCLS (6.1% each) and KfW (5.4%).
JP Morgan, Leerink Partners and BMO Capital Markets are the joint book-running managers for the IPO. They have a 30-day option to buy just over 1 million extra shares, which would push the size of the offering up to more than $115m.