IPO Preview: IN8bio Begins $86 Million IPO Rollout


IN8bio (INAB) intends to raise $86.25 million in an IPO of its common stock, according to an S-1 registration statement.

New York, New York-based IN8bio was founded to advance a pipeline of treatment options for glioblastoma [GBM] and acute leukemia using 'allogeneic, autologous and genetically modified gamma-delta T cells.

The advantage of employing gamma-delta T cells is that they kill cancer cells 'while possessing a tumor recognition mechanism that protects healthy tissue.'

Management is headed by co-founder, president, CEO and CFO William Ho, who was previously founder and Managing Partner at AlephPoint Capital, a healthcare venture capital firm.

Below is a brief overview video of glioblastoma:

Source: Osmosis

The firm's lead candidate, INB-200, is a Phase 1 stage candidate being tested for newly diagnosed GBM and in preclinical study in combination with checkpoint inhibitors.

Below is the current status of the company’s drug development pipeline:


Source: Company S-1 Filing

Investors in the firm have invested at least $14 million and include Bios Equity Partners and Emily Fairbairn.

According to a 2018 market research report by GlobalData, the global market for glioblastoma treatment was an estimated $662 million in 2017 and is expected to reach $1.4 billion by 2027 in the eight major markets (7MM plus urban China).

This represents a forecast CAGR (Compound Annual Growth Rate) of 7.5% from 2018 to 2027

Survival rates from GBM are low and difficulties in developing new treatment include the inability of drugs to penetrate the blood brain barrier.

Also, currently the only approved targeted therapy is Roche's Avastin for recurrent GBM.

Major competitive vendors that provide or are developing treatments include:

  • Adaptate Biotherapeutics
  • Adicet Bio (ACET)
  • American Gene Technologies International
  • CytoMed Therapeutics
  • Editas Medicine (EDIT)
  • GammaDelta Therapeutics
  • ImCheck Therapeutics
  • Immatics Biotechnologies (IMTX)
  • Lava Therapeutics
  • Leucid Bio
  • PhosphoGam
  • Sandhill Therapeutics
  • Gadeta
  • TC BioPharm

IN8bio’s recent financial results are typical of a clinical stage biopharma in that they feature no revenue and significant R&D and G&A expenses associated with its pipeline development.

Below are the company’s financial results for the past two and ½ years (Audited PCAOB for full years):


Source: Company registration statement

As of June 30, 2020, the company had $3.2 million in cash and $2.8 million in total liabilities. (Unaudited, interim)

IN8bio intends to raise $86.25 million in gross proceeds from an IPO of its common stock, although the final amount may differ.

No existing shareholders have indicated an interest to purchase shares at the IPO price, although this element may become a feature of the IPO if disclosed in a future filing.

Management says it will use the net proceeds from the IPO as follows:

to advance the clinical development of INB-200, including the completion of our ongoing Phase 1 clinical trial and the initiation of a Phase 2 clinical trial for the treatment of newly diagnosed GBM, and for the evaluation of additional indications;

to advance the clinical development of INB-100, including the completion of our ongoing Phase 1 clinical trial and the initiation of a Phase 2 clinical trial for the treatment of leukemia patients undergoing HSCT;

to advance the clinical development of INB-400, including the IND submission and the initiation of a Phase 1 clinical trial for the treatment of newly diagnosed GBM;

the remainder to fund other research and development activities, including preclinical development, working capital and other general corporate purposes.

Management’s presentation of the company roadshow isn’t available.

Listed bookrunners of the IPO are Barclays, Cantor and Mizuho Securities.


IN8bio is seeking public market funding to advance its lead candidate for the treatment of glioblastoma into Phase 2 trials.

For the firm’s lead candidate, INB-200, using DRI gamma-delta T cells, management expects the next data readout sometime in 2021.

For its INB-100 program to treat acute leukemia and currently in Phase 1 trials, it expected initial data readout not until 2022.

The market opportunity for treating glioblastoma is of moderate size and the firm faces significant competition.

Management has disclosed no commercial or big pharma collaborations, so is pursuing a go-it-alone approach at this time.

The company’s investor syndicate does not include any well known life science venture capital firms.

Barclays is the lead left underwriter and IPOs led by the firm over the last 12-month period have generated an average return of 151.4% since their IPO. This is a top-tier performance for all major underwriters during the period.

INAB is the first firm to trial genetically modified gamma-delta T cells but management has provided no initial commentary on its Phase 1 safety results to-date.

When we learn more about the IPO, I’ll provide a final opinion.

Expected IPO Pricing Date: To be announced.

Glossary Of Terms

(I have no position in any stocks mentioned as of the article date, no plans to initiate any positions within the next 48 hours, and no business relationship with any company whose stock is mentioned in this article. IPO stocks can be very volatile in the days immediately after an IPO. Information provided is for educational purposes only, may be in error, incomplete or out of date, and does not constitute financial, legal, or investment advice.)

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