Finance Watch: Kenvue, Acelyrin Launch Biggest Biopharma IPOs Of 2023

SPAC Mergers Still A Go-Public Alternative For Some

Public Company Edition: J&J’s consumer health spinout Kenvue grossed $3.8bn in its public market debut and Acelyrin raised $540m in an upsized IPO. Also, Seres accessed $250m in new debt for Vowst commercialization while follow-on offerings raised $325m for ImmunoGen and $240m for Morphic. 

Finance Watch Public Company
• Source: Alamy

The two biggest biopharmaceutical initial public offerings in the US so far in 2023 occurred during the first week of May, although the largest of the two was a consumer health care spinout from a drug maker – Johnson & Johnson’s separation of Kenvue Inc. from its remaining pharmaceutical and medical device businesses. Kenvue grossed $3.8bn from the sale of 172.8 million shares at $22 each on 3 May, while Acelyrin, Inc. sold 30 million shares at $18 each to gross $540m on 4 May.

Both offerings – the seventh and eighth biopharma IPOs of 2023 – were well received by investors. Kenvue closed its first day of trading up 22.3% at $26.90 on 4 May. Acelyrin closed at $23.50 on 5 May, up 30.6%, after pricing its IPO at the top end of a proposed $16 to $18 price range and increasing the size of the offering from a planned 26.5 million shares to fund the late-stage development program for its interleukin-17A inhibitor izokibep

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