Fidelity, Arch stand, and RNAI's new City Therapeutics (CTY.US) sprint to IPO in the US to raise up to US$185 million

The Zhitong Finance App learned that City Therapeutics Inc. (CTY.US), an early-stage RNAi drug developer, is seeking to raise up to $184.7 million in a US initial public offering (IPO). The investor, which includes companies from Arch Venture Partners and Fidelity Management Research, plans to issue 9.72 million shares at a price of $17 to $19 per share, according to the company's filing with the US Securities and Exchange Commission on Friday.

The company, headquartered in Cambridge, Massachusetts, is valued at approximately US$956.3 million if the price is limited according to the issue price range and the issued shares disclosed in the prospectus.

According to information, the proposed listing comes at a time when the similar gene therapy company Adarx Pharmaceuticals (ADRX.US) received 446.3 million US dollars in IPO last month and is very popular in the market. According to compiled data, newly listed companies in the biomedical and pharmaceutical sector raised a total of 7.8 billion US dollars this year; compared to only 1.3 billion US dollars in the same period in 2025.

City is developing RNAI-based drugs to treat thromboembolic disease and Stargardt disease — an inherited macular degeneration disease that occurs in children and young adults. The company's main product is in early trials to prevent thromboembolic diseases, while other candidate products are in pre-clinical development or drug discovery. City expects to release data from one phase of the study this year.

John Maraganore, the founding CEO of RNAi drug developer Aliram Pharmaceuticals (ALNY.US), is the co-founder of City and is currently the executive chairman. The company has established strategic partnerships with BLCO.US (BLCO.US) and BIIB.US (BIIB.US), respectively, to advance RNAi therapies for eye diseases and central nervous system diseases.

According to the documents, for the six months ended June 30, 2026, City had a net loss of US$53.4 million and cooperative revenue of US$6.4 million; a net loss of US$24.3 million and revenue of US$5.6 million for the same period last year.

According to the documents, from its inception to June 30, 2023, City has raised US$238.8 million through private equity financing. Prior to the IPO, Arch held 35% of the company's shares and Fidelity held 10% of the shares.

According to the company's previous announcement, City completed Series B financing of about $99.5 million in June of this year. Viking Global Investors and Sofinnova Investments joined as new investors, and existing investors, including Arch and Fidelity, also participated.

The launch was led by Goldman Sachs, Jefferies, Stifel Financial Corp., and Oppenheimer & Co. City expects its shares to be traded on the NASDAQ global market under the ticker symbol CTY.