Three late bull market biotech IPOs are shining examples of the truism of sector rotation and the value of diving through the funding window before it closes.
Ultragenyx Pharmaceutical (RARE -6.4%) debuted on January 31 on robust volume of 4.4M shares. Trading opened at almost 2x the IPO price of $21 ending the day at $42.25. Prices peaked at $69.77 on March 13. Shares trade hands today at $40. The firm still sports a market cap of $1.2B despite no revenues and two products in Phase 2 clinicals.
Dicerna Pharmaceuticals (DRNA -1.5%) debuted on January 30 on 4M shares. Trading opened at > 2x the IPO price of $15 ending the day at $46 never to return. Today shares exchange hands at $16, a tidy 65% drop from the peak. The company has no revenues and only one product in Phase 1 clinicals.
Uniqure N.V. (QURE -1%) debuted on February 5 on 4.7M shares. Prices struggled to stay above the IPO price of $17 and eventually succumbed to selling pressure ending the day at $14.61. Prices peaked at $18.75 on February 26. Shares trade hands today at $8.80 representing a 53% haircut from the peak. The company has no product revenues but plans to launch its gene therapy product, Glybera, in selected European countries in H1 2014.