AAA MeiraGTx makes inroads on $86m IPO

MeiraGTx makes inroads on $86m IPO

MeiraGTx, a US-based developer of treatments for genetic disorders, has filed for an $86.3m initial public offering that will give biopharmaceutical company Kadmon the chance to exit.

Founded in 2015 with assets acquired from Kadmon, MeiraGTx is developing gene therapy treatments for inherited retinal diseases, neurodegenerative diseases and serious forms of xerostomia, where the mouth is dry due to lack of saliva.

The company will put most of the IPO proceeds into development of five drug candidates., while additional capital will be used to beefing up its manufacturing capabilities.

The offering follows approximately $107m of funding according to the filing. Kadmon is MeiraGTx’s largest shareholder, with a 17.7% stake.

Other notable investors in the company are hedge fund sponsor Perceptive Advisors (16.1%), a vehicle called Adena Estate (8.8%), life sciences real estate investment trust Alexandria Real Estate Equities (8.2%) and co-founder and chief scientific officer Robin Ali (5.5%).

Biopharmaceutical company Essex Bio-Technology invested $5m in MeiraGTx in March this year but owns less than 5% of the company.

Merrill Lynch, Pierce, Fenner & Smith, Barclays Capital, Evercore Group and Chardan Capital Markets have been appointed underwriters for the offering, which is set to take place on the Nasdaq Global Market.

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