Neumora, RayzeBio seeking $200M-plus IPOs in a sign the market is biting again

Neumora and RayzeBio are both casting a line into the market, with each seeking to raise more than $200 million in initial public offerings this fall.

Neumora is offering 14,710,000 shares at a range of $16 to $18 apiece, which would mean a raise of $250 million at the midpoint, according to a Monday regulatory filing. The biotech is seeking to list its shares under the ticker "NMRA." The underwriters will have access to another 2,206,500 shares of common stock for 30 days.

The neuroscience biotech is seeking a valuation of up to $2.74 billion based on the higher end of the range. 

Neumora emerged in 2021 backed by Amgen and Arch Venture Partners with $500 million to find new treatments for brain diseases. The company rolled up a couple of privately held biotechs to build out a pipeline and now has nine investigational programs in the works. The therapies include the phase 3 med navacaprant, in development for major depressive disorder and other neuropsychiatric disorders. Other areas of interest include Alzheimer’s disease and schizophrenia.

Meanwhile, RayzeBio is similarly planning to hit the public markets with its radiopharmaceuticals pipeline in tow. The company is offering 13,235,000 shares of common stock also at a range of $16 to $18 apiece, according to a regulatory filing dated Sept. 11. That puts the midpoint at around $225 million. The underwriters also have dibs on an additional 2,159,700 shares. 

RayzeBio's lead program is RYZ101, which is in phase 3 development for gastroenteropancreatic neuroendocrine tumors. 

The two pricings are a sign that the IPO market might be biting again for biotechs after a multiyear thaw saw few companies take the lunge.