Adaptimmune Therapeutics, a UK-based biopharmaceutical company backed by pharmaceutical firm Novo and biotechnology company Immunocore, raised $191.3m yesterday when it priced an initial public offering on Nasdaq at $17.00 per share.
The company issued 11.25 million shares, and the IPO’s underwriters have the 30-day option to buy almost 1.7 million additional shares, which would push the size of the offering up to approximately $220m.
Founded in 2008, Adaptimmune is developing immunotherapy products to treat cancer based on its T-cell receptor (TCR) platform. Its treatments would identify and then target cancer with genetically engineered T-cell receptors.
The oncology company plans to invest $140m of the proceeds in advancing additional TCR treatment candidates into, and through preclinical testing.
A further $30m will fund the acceleration of its lead candidate into clinical development, while $25m will support a pilot manufacturing capability and fund Adaptimmune’s operations until the middle of 2018.
The IPO follows a $104m series A round in September 2014 featuring Novo, New Enterprise Associates (NEA), Fidelity Biosciences, OrbiMed Advisors, Wellington Management, Foresite Capital Management, Ridgeback Capital Management, QVT, Rock Springs Capital, VenBio Select and Merlin Nexus.
Immunocore, which is closely linked with Adaptimmune, having also licensed technology from biotechnology company Medigene, is providing resources to Adaptimmune and held a 7.6% stake in the company that was diluted to 6.4% in the IPO.
Novo is not among the company’s notable shareholders, which also include NEA (a 14% stake post-IPO) and OrbiMed (6%).
BofA Merrill Lynch, Cowen and Company and Leerink Partners are serving as joint book-running managers for the offering and Guggenheim Securities is acting as lead manager. Adaptimmune’s shares opened at $19.25 yesterday but fell to close at $16.00.