Categories Health Care, IPO, Others

IPO Alert: Third Harmonic files to go public. Here’s what you need to know

The company looks to list on the Nasdaq Global Market under the symbol THRD; the offer size and price will be revealed later

IPO activity has started gaining steam after falling significantly in the first half, in line with the global trend, but it is unlikely to match last year’s record highs. While the rebound is led by finance and healthcare technology companies, a full recovery looks a long way off. The latest among the major IPO aspirants that have filed documents with the SEC include Third Harmonic Bio, a clinical-stage healthcare firm offering oral KIT inhibitor for the treatment of severe allergy and inflammation.

The Offering

It is worth noting that not many biopharma companies went public this year. Third Harmonic is looking to raise approximately $150 million by selling common shares in an initial public offering. The team of underwriters will be led by Morgan Stanley. The management will reveal the size of the offering and price in future filings. The company has applied to list on the Nasdaq Global Market under the symbol THRD.


Read management/analysts’ comments on quarterly reports


Currently led by Natalie Holles, who has been serving as the chief executive officer for more than a year, the company was founded by venture capital firm Atlas Venture in 2019. For the Cambridge-based firm, the main priority is the further development of intellectual property licensed from Novartis AG (NYSE: NVS), which is part of its investor syndicate.

ipo news

Net proceeds from the offering will mainly be used for the development of THB001 for various indications — Third Harmonic’s lead candidate for the treatment of dermatologic and respiratory conditions — and expansion of the remainder of its pipeline, besides general research and development activities.

Pipeline

To a large extent, the long-term prospects of the business would be influenced by results from early-stage trials on THB001. Currently, multiple studies on the formulation are progressing – preclinical and phase-1 – for conditions like chronic inducible urticaria, chronic spontaneous urticaria, and asthma. Initial results from the phase-1b trial for chronic inducible urticaria are expected by the second half of 2023.


Here’s all you need to know about Sacks Parente’s upcoming IPO


After successful development, these treatments are expected to find a large market and expand steadily over the years. Meanwhile, the company did not generate revenues in the six months ended June 2022, like most clinical-stage biopharma firms. It incurred a net loss of $15.46 million, mainly reflecting costs related to research and development.

Road Ahead

Going forward, competition from industry leaders like Johnson & Johnson (NYSE: JNJ) and relatively smaller players like Teva Pharmaceutical Industries Ltd (NYSE: TEVA) would be a major challenge facing the company. On the positive side, the global market for therapies targeting various types of urticaria is estimated to grow at a compound annual rate of about 10% through 2026. That should create enough space for all players to grow.

Most Popular

United Parcel Service (UPS) seems on track to regain lost strength

Cargo giant United Parcel Service, Inc. (NYSE: UPS) ended fiscal 2023 on a weak note, reporting lower revenues and profit for the fourth quarter. The company experienced a slowdown post-pandemic

IPO Alert: What to look for when Boundless Bio goes public

Boundless Bio is preparing to debut on the Nasdaq stock market this week, and become the latest addition to the list of biotech firms that have launched IPOs this year.

Nike (NKE) bets on innovation and partnerships to return to high growth

Sneaker giant Nike, Inc. (NYSE: NKE) has been going through a rough patch for some time, with sales coming under pressure from weak demand and rising competition. Post-pandemic, the company

Add Comment
Loading...
Cancel
Viewing Highlight
Loading...
Highlight
Close
Top