Sept 21 (Reuters) – ADARx Pharmaceuticals is seeking a valuation of up to $1.74 billion in its U.S. initial public offering, the company said on Monday, as investor appetite for biotech listings strengthens.
The San Diego, California -based company is aiming to raise up to $371.9 million in the IPO by offering 21.9 million shares priced between $15 and $17 each.
A sharp rise in Treasury yields and increased interest rates have complicated the backdrop for new listings, making IPO valuations harder to establish and prompting some prospective issuers to wait for markets to stabilize.
AbbVie has agreed to buy shares in a concurrent private placement that would give it a roughly 4.9% stake in the company following the IPO, ADARx said.
JP Morgan, Morgan Stanley, TD Cowen, UBS Investment Bank and LifeSci Capital are the underwriters for the offering.
It plans to list its shares on Nasdaq under the symbol “ADRX”.
(Reporting by Pragyan Kalita in Bengaluru; Editing by Joyjeet Das)
