Person preparing a vaccine and Adagio Therapeutics logo
Source: Getty Images / Adagio

Adagio Therapeutics Seeks IPO, Focuses on COVID-19 Antibody Treatment

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Aug. 3 2021, Published 1:48 p.m. ET

Clinical-stage biopharmaceutical company Adagio Therapeutics (ADGI) is seeking an IPO to help get its antibody-based COVID-19 treatment to market.

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Adagio will offer 17.7 million shares priced between $16 and $18 per share. At the midpoint, the company would have a valuation of almost $301 million.

The company plans to use the funds raised from the IPO to support the phase 2 and 3 clinical trials for its ADG20 product, an antibody for the treatment and prevention of COVID-19.

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coronavirus
Source: Getty Images

What is Adagio Therapeutics?

Adagio was founded in June 2020 amid the COVID-19 global health crisis that has impacted the entire world. The company aims to develop a portfolio of anti-coronavirus antibodies to treat and prevent COVID-19 and future coronavirus outbreaks.

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With the emergence of new variants of the disease, combined with the number of unvaccinated individuals and the uncertainty on how long the current vaccines are effective, the virus isn’t going away anytime soon, Adagio representatives say.

“We believe that COVID-19 will become an endemic disease requiring a variety of effective, safe and convenient treatment and prevention options for years to come,” the company states in its prospectus filed with the SEC.

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Adagio estimates that as much as 50 percent of the global population might be susceptible to COVID-19 infection within three years.

Once ADG20 is approved for treatment and prevention of COVID-19 in the U.S., the company plans to seek approvals in other parts of the world. Eventually, Adagio hopes to get ADG20 approved for use in children.

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Since it was founded, Adagio has raised about $470 million in capital and $336 million came from a Series C funding round in April.

Source: Twitter
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Other COVID-19 prevention companies to consider for your portfolio.

Many signs indicate that the world is going to be struggling with COVID-19 for the foreseeable future. If you want to invest in companies at the forefront of creating mRNA-based vaccines to combat COVID-19, here are a few to consider:

Moderna (MRNA)

Massachusetts-based biotech company Moderna makes one of the leading COVID-19 vaccines in the world. The word on the street is that the FDA is considering giving Moderna and Pfizer/BioNTech full approval for their vaccines within the next month.

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BioNTech (BNTX)

Also in the COVID-19 vaccine space, BioNTech is the company partnering with Pfizer on its COVID-19 vaccine. The German company is also in clinical trials for oncology treatments, including one that targets metastatic melanoma. The company’s revenue of over $2 billion for the first quarter of 2021 was a more than 7,294 percent increase YoY.

Arcturus Therapeutics (ARCT)

Arcturus Therapeutics is in phase 2 of clinical trials for its mRNA-based COVID-19 vaccine, LUNAR-COV19. The company recently received approval for clinical trial applications from the Singapore Health Sciences Authority and the Vietnam Ministry of Health to advance its mRNA vaccine candidates that target COVID-19 variants.

CureVac (CVAC)

Germany-based CureVac is in phase 3 clinical trials with its COVID-19 vaccine. In July, CureVac’s vaccine reportedly had disappointing results from clinical trials. The results showed that it was only 48 percent effective.

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