Nkarta’s $252M IPO among biggest preclinical listings ever
Nkarta had already beaten expectations by pricing its upsized IPO at $18, but its triple-digit aftermarket gains provided further evidence that the powerful appetite for new biotech listings extends to preclinical companies. The company more than doubled in value during Friday's session, finishing the day up $29.90 (166%) to $47.90 and attaining a market cap of about $1.5 billion.
Once considered exceptionally risky, IPOs by preclinical biotechs are now becoming commonplace. At least six companies in the category have raised $200 million or more in IPOs priced since June 1, including the exercise of overallotments. Preclinical therapeutics companies also raised more IPO cash in the first half of 2020 than they did in all of 2019 (see “Big Bucks”)...