Adlai Nortye, a biotechnology company, is adjusting its initial public offering (IPO) to decrease its investment in program development. According to a Securities and Exchange Commission filing on Wednesday, the company is reducing the number of American depositary shares offered from 3 million to 2.5 million.
Previously, Adlai Nortye had indicated a price range of $22 to $26 per share. However, the estimated price per share for the IPO will now be $23. As a result of these changes, the company expects net proceeds of $54.2 million instead of the initially projected $67.9 million.
Out of the revised amount, Adlai Nortye plans to allocate $29.7 million towards its pipeline of programs and $13.5 million towards general working and corporate purposes. This differs from their previous plan in August, which aimed to invest $41.5 million in program development and $15.5 million for corporate purposes.
Despite the adjustments to their IPO, Adlai Nortye remains committed to investing $46.7 million in funding the registrational trial for the AN2025 inhibitor, as well as milestone payments for its development and commercial launch if approved.