BlossomHill Therapeutics, which is developing small molecule cancer therapies, raised $150 million in an upsized IPO by offering 9.4 million shares at $16, the midpoint of the $15 to $17 range. The San Diego, CA-based company originally filed to offer 7.8 million shares. BlossomHill now commands a market value of $490 million, or $503 million on a fully diluted basis (+5% vs. original terms).
Founded and led by the married couple behind Turning Point Therapeutics (which was developing an earlier generation of TKIs and was acquired by BMS for $4 billion), BlossomHill is going after AstraZeneca's blockbuster NSCLC drug Tagrisso. BlossomHill believes the macrocyclic structure of its lead EGFR TKI will allow it to be effective against a wide variety of mutations, including the C797S on-target resistance mutation that develops in 13% of patients on Tagrisso and other third-gen TKIs. Early Phase 1 results appear to support this hypothesis, and BlossomHill will be seeking an accelerated approval with a potentially registrational Phase 2 trial to begin in the 1Q27 for an early revenue opportunity of $1+ billion. Additionally, BlossomHill expects its lead candidate to challenge Tagrisso as a first-line treatment in NSCLC, with durability results to read out in the 2H27.
The San Diego, CA-based company will trade on the Nasdaq under the symbol BLSM. J.P. Morgan, Leerink Partners, Guggenheim Securities, LifeSci Capital, and H.C. Wainwright acted as joint bookrunners on the deal.
