ADC Therapeutics, a biotech company developing immune therapy drugs for late stage malign tumor treatment, is launching its IPO in the New York Stock Exchange on May 14. With the equity offering size of $125M, Deerfield Partners, Redmile Group, and AstraZeneca are about to invest up to $100M, or 80%. The starting price of ADCT will be between $16 and $18 per share.
ADC Therapeutics focuses on developing medical drugs for hematopoietic and adenoid tissue tumor treatment using focused antibody conjugates. This is based on pyrrolobenzodiazepine, a next gen patented technology that kills malign tumors without affecting the healthy tissues. The pre-clinical trials show that this drug is 100 times more effective than the existing comparables.
Blood malignancies are the fifth most widespread cancerous disease across the globe. According to Grand View Research in 2017, the blood cancer market amounted to $35.60B in 2016, which is ADCT's potential market.
The company is going public when the flagship drug has already undergone the main trials and is ready for its possible commercialization in 2021. Freedom Finance analysts assess the company value at $1.793B, taking all risks into account, which is 56% more than the largest market cap assessment for the IPO, i.e. at $1.151B. Thus, we expect the ADCT to rise to $28 per share, or by 56%.
Make sure to take part in the Swiss biotech company IPO: the requests can be submitted before 19:00 CEST (UTC+2), May 13!