Germany's CureVac Plans IPO of Up to $245 Million on Nasdaq

CureVac, a biopharmaceutical company, is one of the leading entrants in the race for a coronavirus vaccine.
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German biopharmaceutical company CureVac, a leading entrant in the race to formulate a coronavirus vaccine, announced Monday that it plans an initial public offering of up to $245 million on the Nasdaq Stock Market.

CureVac aims to offer up to 15.33 million shares, with a likely price of $14 to $16 apiece, the company said in a statement. CureVac has applied to list its shares under ticker symbol "CVAC."

CureVac said it would proceeds form the offering to:

· “fund [its] mRNA [messenger ribonucleic acid] vaccine program against [coronavirus] through the completion of Phase 3;

· “fund the expansion of the company’s short-term manufacturing capabilities;

· “advance the company’s lead oncology program, CV8102, through the completion of the Phase 2 clinical trial;

· “advance the company’s vaccine program, CV7202 in rabies through the completion of the Phase 2 clinical trial; and

· “invest in further development of the Company’s mRNA technology platform and to advance the development of other preclinical and clinical programs.”

BofA Securities, Jefferies and Credit Suisse are acting as joint book-running managers for the proposed offering, with Berenberg and Kempen & Co. acting as passive book-running managers.

CureVac is controlled by SAP co-founder Dietmar Hopp, who pledged to buy another €100 million ($117 million) of shares on the IPO, Reuters reported. The Bill and Melinda Gates Foundation also is an investor in the company.

Last week, shares of biotechnology company Novavax  (NVAX) - Get Report surged, after the company said its trial vaccine to prevent Covid-19 generated a promising immune response in an early stage clinical trial.

A Phase 1 trial of its NVX-CoV2373 vaccine produced neutralizing antibodies, which researchers believe are necessary to build immunity to the novel coronavirus virus.