LB Pharmaceuticals (LBRX.US) IPO priced at $15 per share will be listed on NASDAQ tonight.

Biotechnology company LB Pharmaceuticals (LBRX.US) dedicated to developing drugs for neurological and psychiatric disorders announced on Wednesday that it raised $285 million in its initial public offering (IPO) in the United States, making it the largest biotech IPO since February. The New York-based company issued 19 million shares at $15 per share, within the price range of $14 to $16. The IPO valued LB Pharmaceuticals at $3.015 billion. With the recovery of the US IPO market, various companies ranging from cryptocurrency to consumer goods are expected to list on US exchanges this week. In a market dominated by high-growth, tech companies, the IPO of LB Pharmaceuticals signifies a revival of biotech IPOs. Weight loss drug developer Aardvark Therapeutics (AARD.US) is a prominent biotech company that recently raised over $50 million in funding by 2025. However, since its listing in February, its stock price has almost halved. Biotech companies are typically considered long-term investments, as commercializing a candidate drug requires years of research, clinical trials, and regulatory approvals that may cost millions of dollars. LB Pharmaceuticals is well aware of this challenge. Documents show that as of June 30, its cash balance of $14.2 million is insufficient to meet operational and capital needs. The leading candidate drug of LB Pharmaceuticals, LB-102, is an oral small molecule drug preparing for phase III clinical trials for the treatment of acute schizophrenia. In a phase II clinical trial involving 359 patients, the drug met its primary endpoint by the fourth week. LB Pharmaceuticals expects to start phase III clinical trials in the first quarter of 2026. LB Pharmaceuticals will be listed on the Nasdaq on Thursday with the ticker symbol "LBRX". Leerink Partners, Piper Sandler, and Stifel are the joint bookrunners for this transaction.