Healthcare Business

CureVac Enters the Market With a Bang

CureVac B.V. (NASDAQ: CVAC) wasn’t the only initial public offering making some noise in the markets on Friday, but the stock exploded into the market, more than double its original pricing. Since then, it is up more or less triple its original pricing.

The company priced its 13.33 million shares at $16, at the high end of the expected price range of $14 to $16. There is an overallotment option for an additional 2.00 million shares. At this price, the entire offering is valued up to $245.28 million.

The underwriters for the offering are BofA Securities, Jefferies, Credit Suisse, Berenberg and Kempen.

CureVac is a global clinical-stage biopharmaceutical company in the field of messenger RNA (mRNA) technology with expertise in developing and optimizing this versatile molecule for medical purposes. However, the most exciting part of its pipeline is its COVID-19 vaccine.

The principle of CureVac’s proprietary technology is the use of mRNA as a data carrier to instruct the human body to produce its own proteins capable of fighting a wide range of diseases. The company applies its technologies for the development of prophylactic vaccines, cancer therapies, antibody therapies and the treatment of protein therapies.

The company intends to use the net proceeds from this offering and a concurrent private placement offering to further develop and commercialize its SARS-CoV-2 vaccine program. The proceeds also will be used to develop other facets of its pipeline and for working capital and general corporate purposes.

CureVac stock was last seen up about 211% at $49.85, in a range of $36.15 to $51.48 on the day thus far. About 12 million shares had moved as of 1:15 p.m. Eastern.