The fall IPO filings are ramping up with two biotechs lining up to go out. These include an up to $172.5 million offering for the recently formed women’s health player Myovant Sciences and an up to $86.3 million IPO for rare disease company Ra Pharmaceuticals. The former is aiming for a NYSE listing, while the latter is slated for the Nasdaq.
There aren’t any biotech IPO pricings lined up for this week--but there is a $75 million med tech IPO in the works for swallowable intragastric balloon maker Obalon Therapeutics, which had its device recently approved by the FDA.
Myovant has moved fast to an IPO since its formation in February. In April, it in-licensed its sole candidates relugolix and RVT-602 in a deal with Takeda Pharmaceuticals in which it gained exclusive rights to relugolix outside of Asia and worldwide rights to RVT-602, which is being developed to treat female infertility.
Lead candidate relugolix is in two Phase III Takeda trials in Japan to treat uterine fibroid-related pain and heavy menstrual bleeding, respectively. The Japanese pharma is slated to report top-line data from each of these during the second half of next year, with FDA submissions anticipated in 2019.
Relugolix is a once-daily, oral small molecule that is a gonadotropin-releasing hormone, or GnRH, receptor antagonist. Myovant plans to start its own three international Phase III trials for the candidate during the first half of next year in a trio of indications: heavy menstrual bleeding associated with uterine fibroids, endometriosis-associated pain and advanced prostate cancer. Top-line data from each of these is expected in 2019.
Myovant, which has only 9 employees, is held by Roivant Sciences, which holds 85% of the company while Takeda holds 12%.
The pair officially announced the formation of Myovant in June. Roivant sits as the parent company of Myovant and Axovant, which pulled off a whopping $315 million IPO in 2015--and is worth almost $1.4 billion now. Vivek Ramaswamy is the President and Chief Executive Officer of Roivant; he was previously an investor with QVT Financial.
As for Ra Pharma, it’s a small molecule rare disease player that expects to get Phase II data in a couple of indications for lead candidate RA101495 with any IPO funds.
It plans to start a Phase II trial of the subcutaneous injectable to treat paroxysmal nocturnal hemoglobinuria (PNH) during the first quarter of next year with data due during the second quarter. It’s also planning a Phase II trial for RA101495 to treat refractory generalized myasthenia gravis (rMG) that’s slated for the second half of 2017.
RA101495 is a synthetic macrocyclic peptide, a ring-shaped chain of amino acids, which is an inhibitor of complement component 5 (C5). This plays a key role in the rupture and destruction of red blood cells that is associated with PNH. The only approved drug for PNH is Alexion’s ($ALXN) blockbuster Soliris (eculizumab), a biweekly intravenous drug that’s a C5 inhibitor.
Ra expects that RA101495 will be a daily subcutaneous injection that, unlike Soliris, will be self-administered, thereby offering more convenience and flexibility.
Founded in 2008, Ra Pharma had raised $86 million at June 30 with an additional $17.5 million payment from Merck ($MRK) under a 2013 deal to develop orally available cyclic peptides for a noncomplement cardiovascular target. At June 30, Ra had about $40 million in cash.
Investors in the Cambridge, MA-based startup include NEA, Morgenthaler Venture Partners, Novartis Bioventures, Novo A/S, Lightstone Ventures and RA Capital Management.