Zura Bio, a Cheshire-based company that specialises in developing drugs for immune system disorders, has raised US$65mln (£53mln) via a stock market float.
For followers of the UK biotech scene, there were two interesting elements to the IPO. It was done via a special purpose acquisition company or SPAC, and it has taken the opportunity to join Nasdaq in the US, where life science company valuations are keener than they are in London.
Zura, which has partnered with Pfizer, plans to use the funds to support its operations and clinical development of pipeline drug candidates ZB-168, designed to treat diabetes, and torudokimab, which neutralizes the IL33 protein responsible for allergic inflammation-related bodily reactions.
SPACs were widely used during the 2021 stock boom, with over 600 companies created on public markets.
However, that number decreased by 85% to only 86 in 2022.
Zura CEO Dr Someit Sidhu said the company’s decision to use a SPAC allowed for a faster setup time, which was advantageous.
Sidhu also noted that the company's decision to list in the US should be seen as a sign of the success of the UK's biotech industry rather than a failure of UK capital markets.