Nasdaq celebrates epic biotech IPO success in 2018. But can the party on Wall Street rumba on?
On Thursday night Moderna $MRNA proved that a unicorn can still raise record sums with a biotech IPO on Nasdaq. And by the time the market closed Friday, the 20% drop in their share price also had more than a few people wondering if the party on Wall Street was finally winding down.
One way or the other, though, 2018 has provided a record bounty of IPO cash for biotech. Nasdaq crunched the numbers year-to-date, and concluded that Moderna — along with two other unicorn listings for Allogene and Rubius that attracted huge sums this year along with 66 much-smaller outfits — had raised $8.2 billion for the new class of public companies.
That sum even broke through the $6.5 billion in cash raised during the go-go days of 2014, when the long IPO draught triggered by the 2008 crisis finally ended in a deluge of 81 new listings. Back in 2014, though, a big group of 43% of those IPOs had to price below their range, with 57% in the range or higher. So far this year, that success rate is a far more bullish 83%.
Here are the figures:
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