Generate:Biomedicines is hoping to raise up to $425 million via a Nasdaq IPO, with the proceeds needed to bankroll its lead antibody through respiratory disease trials.
The Flagship Pioneering-founded biotech first disclosed its ambition to go public earlier this month but has only now attached figures to that strategy. The company’s current plan is to offer 25 million shares priced between $15 and $17 each, according to a filing with the Securities and Exchange Commission this morning.
Should the final share price fall in the middle of this range, Generate estimated that the IPO will bring in net proceeds of $368.8 million—rising to $424.9 million if underwriters fully take up their 30-day option to buy an additional 3.7 million shares at the same price.
The company has already earmarked $300 million of the IPO funds to complete a pair of phase 3 asthma trials for its anti-TSLP antibody GB-0895, which are expected to enroll about 1,600 patients. The antibody has been engineered with the help of artificial intelligence to give it an extended half-life, with the aim of developing a long-acting therapy that only needs to be dosed every six months.
Generate expects an additional $100 million will be needed for its ambition to complete an ongoing phase 1b study of GB-0895 for chronic obstructive pulmonary disease and then to “initiate the next phase of clinical development,” according to the filing.
Beyond its lead candidate, Generate estimates $75 million will be required to fund platform innovation and carry several programs through development candidate nomination and into investigational-new-drug-enabling activities.
Generate’s two other publicly named drugs include GB-4362, a monoclonal antibody designed to neutralize free monomethyl auristatin E (MMAE) as an add-on therapy to antibody-drug conjugates with an MMAE payload. There’s also GB-5267, an armored, MUC16-directed CAR-T developed in partnership with the Roswell Park Comprehensive Cancer Center and initially being aimed at platinum-resistant ovarian cancer.
The biotech estimates $15 million of the proceeds will be needed to take GB-4362 and GB-5267 into the clinic.
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Founded by Flagship in 2018 as a machine-learning-enabled drug discovery player under the leadership of Merck & Co. veteran Mike Nally, Generate has had no problem attracting either investor interest or Big Pharma backing. In 2022, Amgen inked an agreement worth up to $1.9 billion biobucks to develop five initial programs, leaving room for the potential to nominate up to five more programs later. Amgen has already taken up its option in part, with the pair currently working on six undisclosed programs together.
Then, in 2024, Novartis inked a deal potentially worth more than $1 billion to develop protein therapeutics across multiple indications.
The biotech brought in $370 million via a series B back in 2021 followed by $273 million in a series C in 2023. At the end of 2025, Generate still had $221.5 million in cash and marketable securities available and a deficit of $676.3 million, according to today’s filing. When considering the potential IPO funds, the company could have the money needed to finance its various clinical trials to completion.
After a lull of biotech IPOs in 2025, Generate is joining a growing list of drug developers eyeing up the public markets. CEOs of companies that had already made the leap this year told Fierce they had detected a positive change in sentiment toward biotech IPOs in recent months.
