CG Oncology Sets IPO Target, Looks to Raise Up to $209M

Pablo Monsalve / VIEWpress

Pablo Monsalve / VIEWpress

The bladder cancer-focused biotech is looking to be one of the first companies out of the gate with an initial public offering in 2024.

Pictured: Nasdaq logo on side of building in New York City, Pablo Monsalve / VIEWpress

Cancer-focused biotech CG Oncology is looking to pull in over $180 million when it launches its initial public offering later this year. According to Thursday’s filing with the SEC, the company estimates it will net around $181.1 million if the IPO sells at $17 per share.

CG Oncology plans to offer over 11 million shares of its common stock priced between $16 and $18 per share. The company also intends to offer up another 1.7 million shares to underwriters, which could bring the company a total of up to $209 million from the offering if the pricing is set at $17 per share.

Earlier this month, CG Oncology revealed that it planned to launch an IPO but no details were given at the time as to how much it was looking to net. The company plans to list on the Nasdaq under the name CGON.

The SEC filing states that if CG Oncology nets $181.1 million from the IPO, combined with its cash, cash equivalents and marketable securities, it will give the company around $368.7 million in capital.

The company plans to use around $155 million from the offering and what it has on hand to fund research and development of its bladder cancer candidate cretostimogene. This includes putting funds into “certain manufacturing activities,” with the remainder going to working capital and pre-commercial activities.

“We expect the net proceeds from this offering and our existing cash, cash equivalents and marketable securities will allow us to complete the ongoing BOND-003 and CORE-001 clinical trials, complete enrollment for the PIVOT-006 clinical trial, and initiate and report topline data for our planned CORE-008 clinical trial,” the company said in the document.

CG Oncology may also use the funds to acquire, in-license, or invest in “complementary” businesses, tech or assets, but there have been no commitments. Ultimately, the company is expected to have a cash runway that extends into the second half of 2027 following the IPO.

The IPO is not the only positive momentum CG Oncology has gained over the past few months. Its lead asset, cretostimogene, was given a Fast Track and Breakthrough Therapy designation in December 2023 for high-risk, BCG-unresponsive, non-muscle invasive bladder cancer.

The IPO market in 2023 was anemic. However, CG Oncology and a handful of biotech companies are looking to move into the public market early in 2024. Alto Neuroscience and CAR-T company Kyverna Therapeutics both kicked off their IPO processes this month.

Tyler Patchen is a staff writer at BioSpace. You can reach him at Follow him on LinkedIn.

Tyler Patchen is a staff writer at BioSpace. You can reach him at Follow him on LinkedIn.