Gene&Cell Therapy >> Metagenomi finally sets IPO range, as preclinical biotech
eyes $87M: Gene editing company Metagenomi has set a price range for its proposed initial public offering, marking a key step for preclinical biotechs after weeks of anticipation on whether the California startup would follow through with a listing.
Metagenomi expects net proceeds of about $87 million if it prices at $16 per share, the midpoint of its proposed range disclosed Monday morning in an SEC filing. The biotech will likely go public later this week by selling 6.25 million shares. There’s a chance its proceeds could balloon if the company upsizes before landing on Nasdaq as “MGX,” as CG Oncology, ArriVent BioPharma and Alto Neuroscience did in the past two weeks.
The Moderna-allied Metagenomi would be one of the only biotechs to go public in the past two years before it had any therapeutic programs in human testing, and one of the only gene editing startups to do so either. Endpoints News first reported Metagenomi was working with JP Morgan on an IPO last August.
Metagenomi likely wouldn’t open the floodgates for preclinical IPOs, which rushed onto the public scene in the heyday of 2020 and 2021 for platform biotechs. No other preclinical biotech has revealed its plans to go public since Metagenomi’s paperwork was disclosed in the first week of January. A Phase II autoimmune cell therapy company, Kyverna Therapeutics, will list later this week.
The biotech is still years away from human testing, saying in its S-1 that it’s in the research or lead optimization stage.
With the IPO, Metagenomi said it expects to have enough money to keep the lights on into 2027. It had about $292 million in cash, equivalents and marketable securities at the end of last September. About $125 million is earmarked for preclinical studies, another $85 million for IND-enabling studies and at least two IND filings, $75 million for platform discovery and other early-stage research, as well as $50 million for manufacturing work, Metagenomi outlined in its updated IPO paperwork.
Founded by CEO Brian Thomas and UC Berkeley professor Jillian Banfield in 2016, Metagenomi has since explored a wealth of potential gene editing tools. The company said it has identified more than 20,000 new gene editing systems after pouring through 322 million CRISPR-associated proteins and 1.75 million CRISPRs, per its S-1.
Over the years, Metagenomi has reeled in more than $400 million on the private side from Bayer’s VC arm, Moderna, RA Capital, Humboldt Fund and Novo Holdings, among others.
It’s also inked partnerships with Moderna, Ionis and Affini-T, which is working with Metagenomi on ex vivo cell therapies for immuno-oncology and autoimmune programs. Its most advanced programs are in hemophilia A, primary hyperoxaluria type 1, transthyretin amyloidosis and an immuno-oncology… #lucidquest #genetherapy #celltherapy
Read more at: https://innovate.research.ufl.edu/2024/07/15/solid-biosciences-outlook/