AlloVir Inc. priced its upsized IPO of 16,250,000 shares at a price of $17 each.
The Cambridge, Mass.-based biotechnology company, which focuses on cell therapies to treat patients with life-threatening viral diseases in patients with severely weakened immune systems, will trade on the Nasdaq Global Market under the ticker symbol ALVR. The company changed its name from ViraCyte Inc. in May 2019.
Gross proceeds are expected to be $276.3 million excluding underwriters' options to purchase additional shares. Underwriters have a 30-day option to purchase up to an additional 2,437,500 shares of AlloVir’s common stock at the IPO price.
AlloVir CEO David Hallal, who is also the chief executive officer and co-founder of ElevateBio LLC, has been with the company since 2018 and owns nearly 5% of the company.
The company plans to use the net proceeds from the offering to fund phase 2 and phase 3 clinical studies of its lead product Viralym-M, which will treat a number of viral conditions, and for clinical studies of its experimental drugs including ALVR107 to treat hepatitis B.
Morgan Stanley, J.P. Morgan, SVB Leerink and Piper Sandler & Co. are acting as joint book-running managers for the offering.
The offering is expected to close August 3.