Feb 9 (Reuters) – Shares of Metagenomi Applied sciences , a genetic medicines firm backed by Bayer Healthcare and Moderna, slumped 32% of their Nasdaq debut on Friday.
The inventory opened for buying and selling at $10.25 in contrast with the IPO value of $15 per share.
The lukewarm debut, which supplies Metagenomi a valuation of $384 million, underscores the unpredictability younger startups face as they search inventory listings.
The corporate, which is creating therapies for genetic illnesses like hemophilia A, has but to show a revenue. Its income has been generated from three collaboration agreements, together with one with Moderna, and never from product gross sales.
Over the previous two years, IPO buyers have most popular to again worthwhile corporations over growth-at-all-costs startups because the Federal Reserve has saved borrowing prices at record-high ranges.
Even with rising bets of a comfortable touchdown this 12 months, the restoration within the IPO market has been uneven to this point.
Among the many healthcare and pharmaceutical-related companies which were listed just lately, CG Oncology and Kyverna Therapeutics have been obtained properly, whereas BrightSpring Well being Providers has traded decrease.
Metagenomi on Thursday priced its shares on the decrease finish of the $15 to $17 vary it had marketed.
Final 12 months, the corporate raised $275 million in a personal funding spherical.
J.P.Morgan, Jefferies and TD Cowen are among the many underwriters for the IPO.
(Reporting by Niket Nishant and Mehnaz Yasmin in Bengaluru; Modifying by Tasim Zahid)
