The February IPO market kicked off with two cancer-focused biotechs, joined by four SPACs. New filers trickled into the pipeline with one IPO and four SPACs submitting initial filings.
CAR-T biotech Arcellx (ACLX) priced at the low end to raise $124 million at a $583 million market cap. The company’s sole clinical-stage candidate, CART-ddBCMA, reported strong initial Phase 1 data in 19 evaluable relapsed or refractory multiple myeloma patients, delivering a 100% overall response rate. Arcellx currently plans to initiate a Phase 2 trial in late 2022, which it believes will be sufficient to submit a BLA. Arcellx finished up 12%.
Micro-cap Nuvectis Pharma (NVCT) priced at the low end of the downwardly revised range to raise $16 million at a $65 million market cap. Nuvectis is currently developing two in-licensed candidates. Its lead candidate began a Phase 1 trial for advanced solid tumors in December 2021, and the other candidate is in preclinical development. Nuvectis finished down 35%.
Four SPACs went public this past week led by energy-focused Kimbell Tiger Acquisition (TGR.U), which raised $200 million.
Trading in the IPO market continues to be volatile. New issuers delivered mixed performances during January, and the IPO Index capped off a red month with its best day since 2020, though the rise was short-lived.
|6 IPOs During the Week of January 31st, 2022|
|Phase 1 biotech developing next-gen CAR-T therapies for blood cancers.|
|Kimbell Tiger Acquisition (TGR.U)||$200M||$250M||0%||+1%||+1%|
|Blank check company formed by Kimbell Royalty Partners targeting the energy and natural resources industry.|
|Murphy Canyon Acquisition (MURFU)||$115M||$151M||0%||+0%||+0%|
|Blank check company formed by Presidio Property Trust targeting the real estate industry.|
|Blue World Acquisition (BWAQU)||$80M||$104M||0%||+0%||+0%|
|Blank check company targeting marine-related businesses.|
|Alset Capital Acquisition (ACAXU)||$75M||$98M||0%||+0%||+0%|
|Blank check company backed by Alset EHome International targeting real estate.|
|Nuvectis Pharma (NVCT)||$16M||$65M||-62%||-35%||-35%|
|Phase 1-ready biotech developing in-licensed precision therapies for cancer.|
One IPO submitted an initial filing: UK-based cannabis firm Akanda (AKAN) filed to raise $20 million.
Four SPACs submitted initial filings led by Seven Oaks Acquisition II (SVOBU), which filed to raise $250 million to target businesses with good ESG practices.
|5 Filings During the Week of January 31st, 2022|
|Seven Oaks Acquisition II (SVOBU)||$250M||SPAC||JonesTrading|
|Blank check company targeting firms with strong ESG practices.|
|Global Robotic Drone Acq. (GRDAU.RC)||$100M||SPAC||EF Hutton|
|Blank check company targeting the Asia-Pacific drone technology sector.|
|Prime Number Acquisition (PNACU)||$60M||SPAC||Prime Num. Cap.|
|Blank check company targeting the tech-enabled financial sectors.|
|Ace Global Acquisition II (AGBAU.RC)||$65M||SPAC||EF Hutton|
|Blank check company targeting decarbonization and the gaming and e-commerce sectors.|
|Akanda (AKAN)||$20M||Health Care||Boustead|
|UK cannabis producer with cultivation facilities in Southern Africa.|
The Renaissance IPO Indices are market cap weighted baskets of newly public companies. As of 2/3/2022, the Renaissance IPO Index was down 24.6% year-to-date, while the S&P 500 was down 6.0%. Renaissance Capital's IPO ETF (IPO) tracks the index, and top ETF holdings include Uber Technologies (UBER) and Snowflake (SNOW).
The Renaissance International IPO Index was down 11.4% year-to-date, while the ACWX was down 2.5%. Renaissance Capital’s International IPO ETF (IPOS) tracks the index, and top ETF holdings include Volvo Car Group (OTCPK:VOLAF) and Kuaishou (OTCPK:KUASF).
Editor's Note: The summary bullets for this article were chosen by Seeking Alpha editors.
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