Canadian cannabis company Tilray Inc (NASDAQ:TLRY) begins trading Thursday on the Nasdaq.
The federally licensed cannabis cultivator priced its 9 million shares at US$17 each, above its initial price range between US$14 and US$16, raising around US$153mln in its initial public offering.
Shares were trading at US$21.32 this morning, a 25% jump from its starting price.
The proceeds will be used to up its production capacity and also be put towards future acquisitions.
READ: IPO Roundup: Canadian cannabis company Tilray’s IPO could raise more than US$140mln
While there are other cannabis companies trading, including Cronos Group Inc (NASDAQ:CRON) and Canopy Growth Corp (NYSE:CGC), Tilray is the first to raise capital on a US exchange. The company has said it does not intend to list on a Canadian exchange.
The company, which cultivates and distributes pharmaceutical-grade cannabis products, was one of the first companies to sign a cannabis supply agreement with Shoppers Drug Mart, one of Canada’s largest pharmacy chains.
Other notable IPOs this week
Rubius Therapeutics Inc (NASDAQ:RUBY) may be one of the largest biotech IPOs of the year.
The Massachusetts-based company priced 10.4 million shares at US$23 each, above its initial range between US$20 and US$22, raising US$241mln in its IPO.
Massachusetts is a hotbed for biotechs, home to the tech hub that is the Massachusetts Institute of Technology. However, Rubius has raised the most money in an IPO of any of the state’s biotechs, according to a report by the Boston Business Journal.
The pre-clinical stage biopharma is developing treatments for cancer and autoimmune diseases using cellular therapies. Red blood cells are genetically engineered to carry therapeutic proteins.
READ: Nasdaq is king of the tech IPO with 151 new listings in the first half of 2018
Constellation Pharmaceuticals Inc (NASDAQ:CNST) is another Massachusetts-based company making its public trading debut.
The biopharma priced its shares at US$15 per share, right in the middle of its initial price range of US$14 and US$16.
However, its offering was cut by 25% to 4 million shares from its original size of 5.34 million, raising US$60mln instead of US$80.1mln.
The clinical-stage biopharma develops treatments for prostate cancer and other cancers. The company’s epigenetic platform uses small molecules to treat patients with cancers resulting from abnormal gene expressions.
On hold
Oil services company AFG Holdings Inc (NYSE:AFGL) was set to be one of the largest IPOs of the week.
The Houston-based company was set to issue 18.2 million shares priced between US$15 and US$18, raising as much as US$327.6mln.
As of Thursday morning, the oil and gas equipment maker had yet to price its shares.
AFG Holdings Inc (AFGL) -- AFG Holdings has postponed their offering scheduled to price this evening due to market conditions. There is no further information. #IPO $IPO $AFGL pic.twitter.com/9GzYpUEY9M
— IPO Boutique (@IPOBoutique) July 18, 2018
A tweet from IPO Boutique suggested that the offering was postponed due to market conditions.