Galecto, a Phase 2 biotech developing therapeutics for fibrosis and related diseases, announced terms for its IPO on Thursday.
The Copenhagen, Denmark-based company plans to raise $85 million by offering 5.7 million shares at a price range of $14 to $16. At the midpoint of the proposed range, Galecto would command a fully diluted market value of $395 million.
Galecto's initial focus is on the development of small-molecule inhibitors of galectin-3 and lysyl oxidase-like 2, which play key roles in regulating fibrosis. Its lead product candidate, GB0139, is an inhaled inhibitor of galectin-3 for the treatment of severe fibrotic lung diseases such as idiopathic pulmonary fibrosis (IPF). The company has conducted a Phase 2a trial in 24 IPF patients and has initiated a Phase 2b trial in 450 IPF patients, with topline results expected in 2022.
Galecto was founded in 2011 and plans to list on the Nasdaq under the symbol GLTO. BofA Securities, SVB Leerink, and Credit Suisse are the joint bookrunners on the deal. It is expected to price during the week of October 26, 2020.
