Rani Therapeutics, a US-based biologics delivery technology developer backed by corporates Alphabet, GeneScience, AstraZeneca, Shire, Novartis, Ping An, KPC and Stevanato, floated on Friday in a $73.3m initial public offering.
The IPO on the Nasdaq Global Market involved the company issuing almost 6.7 million class A shares at $11 each, below the $14 to $16 range. They closed at $10.80 yesterday.
The company’s market capitalisation stood at $541m on Friday, according to Silicon Valley Business Journal.
Founded in 2012, Rani is working on a biologic capsule dubbed RaniPill, which would enable the drug to be administered orally rather than through a subcutaneous or intravenous injection.
The company had secured $211m in total as of a $69m series E round closed in December 2020 featuring unspecified backers.
Pharmaceutical groups AstraZeneca, GeneScience, Novartis and Shire had all backed a $53m round two years before together with GV and Ping An Ventures, respective subsidiaries of internet group Alphabet and insurer Ping An, as well as Bossa Ventures, Cathay Venture and Virtus Ventures.
Undisclosed investors had supplied $39m in funding for the company in 2017, which came in the wake of an undisclosed sum from AstraZeneca, Ping An Ventures and Virtus Inspire Ventures the previous year.
Novartis, GV, pharmaceutical firm KPC, research group InCube Labs subsidiary InCube Ventures, VentureHealth, Buttonwood Funds and GF Ventures were all identified as shareholders alongside the 2016 round.
GV, InCube Ventures, VentureHealth, Novartis, drug packaging firm Stevanato, Crystal Horizon Investments, Pinemount Investments, Pacific Venture Opportunity Fund and Buttonwood all participated in a $15.5m round in 2015, after the first three had provided $10m two years before.
Underwriters BofA Securities, Stifel Nicolaus, Cantor Fitzgerald, Canaccord Genuity and BTIG have a 30-day option to buy 1 million more shares at the offering price.
