Weight-loss drug developer Metsera raises $275 million in US IPO

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Jan 30 (Reuters) - Weight-loss drug developer Metsera has raised $275 million after pricing its U.S. initial public offering at $18 per share, above its targeted range, the ARCH Venture Partners-backed biotech company said on Thursday.

Investor sentiment improved on expectations of lower corporate taxes and a more business-friendly regulatory environment under the Donald Trump administration, leading to a rejuvenation of the U.S. IPO market.

New York City-based Metsera sold 15.28 million shares above its targeted range at $18 apiece. The company had initially marketed 17.19 million shares at a range of $15 to $17 each.

The IPO valued the drug developer at $1.8 billion, ahead of its Nasdaq market debut.

The global weight-loss drug market, expected to be worth about $150 billion by the early 2030s, has drawn increased investor interest in companies targeting the fast-growing segment.

However, analysts don't expect a dramatic rise in IPO proceeds for 2025 due to high interest rates.

Biotech firms such as BioAge Labs BIOA.O and MBX Biosciences MBX.O were well received on their respective debuts, but they have lost ground to trade much lower than their IPO price since they listed last year.

Founded in 2022 by venture capital firm ARCH Venture and investment company Population Health Partners, Metsera is developing injectable and oral drugs to treat obesity, based on the GLP-1 mechanism and other biological targets.

GLP-1 drugs, which help slow digestion and reduce hunger by triggering a feeling of fullness, are now being studied to see if they can improve health in other ways too.

Metsera's shares will trade on the Nasdaq Global Market under the ticker symbol "MTSR" on Friday.

BofA Securities, Goldman Sachs, Evercore ISI, Guggenheim Securities and Cantor are the underwriters for the offering.