Raising $625 million marks a five-year high for weight loss drug newcomer Kailera Therapeutics (KLRA.US) as it debuts on Nasdaq tonight.

Focus on the treatment of obesity, the clinical-stage biotechnology company Kailera Therapeutics Inc. (KLRA.US) successfully raised $625 million by expanding its initial public offering (IPO) size, setting a record for the largest IPO in the U.S. biotechnology field since 2021. Based in Waltham, Massachusetts, the company priced its IPO at the upper end of the previously announced price range. According to a statement released on Thursday, Kailera sold approximately 39 million shares at a price of $16 per share. The company had previously planned to issue 33.3 million shares at a price of $14 to $16 per share. Sources revealed that the IPO was oversubscribed, with oversubscription multiples reaching double digits. At the issuance price, based on the number of outstanding shares listed in the prospectus, Kailera has a market value of about $2 billion. Aggregate data shows that this IPO is the largest in the U.S. biotechnology field since 2021the previous record was set by Sana Biotechnology Inc. (SANA.US), a cell engineering company that raised $676 million in its IPO that year. Kailera will enter a fiercely competitive drug development race, with various pharmaceutical companies vying for a share of the $200 billion obesity treatment market that might be reached by 2030. Among them, Eli Lilly (LLY.US) and Novo Nordisk A/S Sponsored ADR Class B (NVO.US) are leading the way with FDA-approved weight loss drugs (both oral and injectable). Established in 2024, Kailera is a late-stage biotechnology company that is developing four GLP-1-based weight loss drugs, including a once-weekly injectable drug and a once-daily oral tablet, both of which are currently in late-stage clinical trials. Existing shareholders including Bain Capital Private Equity, Bain Capital Life Sciences, and the Qatar Investment Authority have expressed their intention to collectively purchase up to $225 million in company stock at the IPO price. According to the prospectus, Bain Capital's affiliated companies will hold approximately one-third of the company's shares after the issuance. In terms of financial data, Kailera had a net loss of $149 million for the year ending December 2025, while its net loss from May 2024 to December 2024 was $219.7 million. Kailera is led by Ronald Renaud, who previously served as CEO of Cerevel Therapeutics until the company was acquired by AbbVie (ABBV.US) for $8.7 billion in 2024. Prior to this IPO, Kailera raised $600 million through a Series B financing round in October last year. The round was led by Bain Capital Private Equity, with new investors including Janus Henderson Investors, Surveyor Capital, and Invus, while existing investors such as Atlas Venture, Bain Capital Life Sciences, and Sirona Capital also participated in the investment. The lead underwriters for this offering include JPMorgan, Jefferies Financial Group Inc., Leerink Partners LLC, Cowen Inc., and Evercore Inc. The company's stock is expected to begin trading on the Nasdaq Global Market on Friday under the symbol "KLRA".