Biotech IPOs keep momentum in 2025

USA – The biotech IPO scene in 2025 continues to thrive as Sionna Therapeutics made a strong debut on NASDAQ, raising US $190.6 million late Thursday.

This follows recent IPOs by Ascentage Pharma, Metsera, and Maze Therapeutics. Meanwhile, companies like Aurion Biotech and Odyssey Therapeutics are waiting for their turn, and Aardvark Therapeutics has proposed a US $100.1 million offering, signaling a busy IPO pipeline.

Sionna’s public debut stood out as the company increased the number of shares sold and priced at the high end of its proposed range. Initially planning to sell 8.8 million shares, Sionna instead sold 10.6 million shares at US $18 each, raising US $190.6 million.

This marks the second-largest IPO raise in 2025. Sionna is focused on developing cystic fibrosis treatments targeting the CFTR protein’s nucleotide-binding domain 1 (NBD1).

Its lead candidates, SION-719 and SION-451, are set to enter Phase IIa trials later this year, with additional Phase I/II studies ongoing for complementary CFTR modulators, including programs previously developed by AbbVie.

The performance of recent biotech IPOs will be a key metric to watch. Among the 20 biotech companies that went public last year and raised over US $10 million, only three are currently trading above their debut prices.

Early data for this year’s IPOs present a mixed picture. Metsera’s stock has seen the biggest gains, climbing 64% from its debut price.

In contrast, Maze’s shares have dropped by more than 18%, while Ascentage’s stock has posted a modest 9% increase.

Aardvark Therapeutics, another biotech eyeing the IPO window, is aiming for a smaller offering compared to Sionna and others.

The company plans to sell 5.9 million shares priced between US $16 and US $18, which could raise US $100.1 million and result in a market capitalization of around US $363.5 million.

Aardvark is developing treatments for metabolic diseases by targeting Bitter Taste Receptors (TAS2Rs) in the gut to reduce hunger signals.

Its lead candidate, ARD-101, is a small-molecule agonist of TAS2Rs currently in Phase III trials for hyperphagia related to Prader-Willi syndrome (PWS).

Aardvark is also working on ARD-201, a combination of ARD-101 and a DPP-4 inhibitor, with plans to begin Phase II testing for obesity-related conditions later this year.

The biotech IPO market this year appears more open than in previous years, but the success of these companies will depend on their ability to perform in the long term.