Upstream Bio Raises $255 Million in IPO Success

Upstream Bio, a biotechnology company in the HBM Healthcare Investments portfolio, launched its initial public offering successfully on Nasdaq. The IPO raised USD 255 million by issuing 15 million shares at USD 17.00 each. On the first trading day, the share price surged to USD 22.00, marking a 29.4% increase and valuing the company at around USD 1.1 billion.

HBM Healthcare Investments initially invested USD 30 million in Upstream Bio through two funding rounds since 2021. This investment was most recently valued at USD 44 million. Post-IPO, HBM holds roughly 2.7 million shares worth USD 59.7 million.

Upstream Bio focuses on treatments for inflammatory diseases, including severe respiratory disorders. Its leading product, verekitug, is an antibody targeting the TSLP receptor, crucial for inflammation. Currently, the drug is in Phase 2 trials for severe asthma and other conditions.