Alto Neuroscience and Kyverna Therapeutics are following in the footsteps of CG Oncology, Metagenomi and Arrivent in seeking initial public offerings this year.
Pictured: Large yellow sign boards hoisted on metal frames, spelling out IPO/iStock, ismagilov
The initial public offering market continues to grow in early 2024, with two new biotechs jumping into the arena—California-based Alto Neuroscience and CAR-T specialist Kyverna Therapeutics.
Neurology-focused Alto announced its IPO in an SEC filing late Friday. The biotech has not yet disclosed how many shares of its common stock will be up for sale, nor how much it expects to make. Alto is planning to close its IPO within the year, but has likewise not set a specific date yet.
Once the offering is complete, Alto will trade on the New York Stock Exchange under the symbol ANRO.
Alto will use the IPO’s proceeds to bolster its existing cash and cash equivalents and support the clinical development of its lead candidate ALTO-100, a small molecule drug that targets BDNF and is currently in Phase IIb for major depressive disorder and Phase IIa for post-traumatic stress disorder (PTSD).
Last year, Alto released two positive readouts from these two programs demonstrating significant improvements in depressive symptoms in January 2023 and reducing PTSD burden in September 2023. According to Alto’s SEC filing, ALTO-100 binds a receptor “not targeted by other [central nervous system] therapeutics, which would make it first-in-class if approved.”
Alto will also use the funds from its IPO to fund its other programs, including the depression candidate ALTO-300, the PDE4-targeting ALTO-101 and the histamin H3 receptor inverse agonist ALTO-203. The IPO will also support Alto’s general corporate operations as well as “potential additional clinical development” across its programs.
Following in Alto’s footsteps is Kyverna, which according to an exclusive report from Endpoints News posted late Friday, could file for an IPO as early as February 2024. According to a source, who requested anonymity, Kyverna could reveal its IPO plans as early as next week and make its offer early next month, though it remains possible that these plans could still change.
Kyverna is developing CAR-T therapeutics to target autoimmune diseases, for which it uses a next-generation anti-CD19 CAR-T construct, according to the biotech’s website. It has two programs—the autologous KYV-101 and the allogeneic KYV-201—which it is developing for B-cell driven autoimmune conditions.
KYV-101 is already in a clinical trial for lupus nephritis and was recently given the FDA’s clearance for testing in myasthenia gravis and multiple sclerosis.
Alto and Kyverna follow three other companies that have launched their IPOs this year. Leading the pack is CG Oncology, which revealed its plan in the first week of the year, putting up 44 million shares of its common stock up for sale. Metagenomi and ArriVent disclosed their respective plans days after, though neither revealed the specific financial targets for their IPOs.
Tristan Manalac is an independent science writer based in Metro Manila, Philippines. He can be reached at tristan@tristanmanalac.com or tristan.manalac@biospace.com.
