Eighteen therapeutics developers launched IPO in 2016, raising $1.2bn in total net proceeds and generating an average return of 10.8% as of June 30. Nine of the companies produced a positive return at mid-year and nine had a negative return versus their IPO stock price. But with only 18 IPOs so far in 2016 versus 34 biopharma first-time offerings at the mid-point of 2015, which raised a total of $2.9bn in net proceeds, investors clearly are responding to the now poor performance of companies that went public last year.
Half of 2016 Biotech IPOs Positive At Mid-Year; 2015 Success Rate Sours
It hasn't been easy for biopharmaceutical firms to go public in the US during 2016, but as of the end of June the scrutiny seems to be paying off – at least for investors in half of this year's first-half initial public offerings.
More from Strategy
• By
AstraZeneca remains committed to investing in R&D and alliances in China, where Susan Galbraith, the UK major’s head of oncology R&D, sees innovation eventually reaching parity with the US and Europe.
• By
The US FDA approved anti-CD19 antibody Uplizna, from Amgen’s $27.8bn purchase of Horizon in 2023, for IgG4-related disease – a larger market than its original NMOSD indication.
• By
BeiGene’s Phase III ociperlimab joins the list of failed TIGIT inhibitors, as candidates from Roche, Merck & Co. and others have failed late-stage studies.
• By
The German firm’s chairman, Hubertus von Baumbach, is adopting a ‘wait-and-see’ approach to the threat of pharma tariffs.
More from Business
• By
The German firm’s chairman, Hubertus von Baumbach, is adopting a ‘wait-and-see’ approach to the threat of pharma tariffs.
• By
Trump announced a 26% reciprocal tariff on India but a country-agnostic exemption of pharmaceuticals implies that the interests of Indian firms and the US consumer are protected for now. What is Indian pharma’s business exposure and what is domestic industry saying?
• By
Industry lobbied for pharmaceuticals to be exempt from Trump’s sweeping US tariffs and the effort appears to have paid off. J&J, Lilly and Merck & Co. even got shout outs.