Bryan, Garnier & Co acts as Joint Global Coordinator and Joint Bookrunner on Cinclus Pharma’s SEK 715m Nasdaq Stockholm IPO

Cinclus Pharma is a Swedish late-stage biopharmaceutical company developing therapeutic treatments for severe and erosive forms of Gastroesophageal reflux disease (GERD).

Cinclus Pharma was founded by pioneers in GERD treatment and is led by ex-AstraZeneca blockbuster Losec and Nexium product leaders. Its proprietary lead drug candidate, linaprazan glurate, is a next generation and potential best-in-class Potassium Competitive Acid Blocker (PCAB), thanks to a unique full-day control of intragastric acidity. 

Linaprazan glurate is firstly being developed as a specialty pharma drug for the treatment of severe erosive GERD and is about to enter phase 3 study. The molecule has achieved clinical superiority versus standard of care in phase 2 trial, with a doubling of healing rates in half the time. 

With an estimated patient population of around 10m patients across US and EU5 countries suffering from severe erosive GERD, Cinclus is addressing a multibillion USD market opportunity with a high unmet need, and not sufficiently addressed by the current standard of care. 

Beyond the healing of severe erosive GERD, Cinclus’ opportunities will expand towards i) the maintenance of healed patients under treatment; and ii) the eradication of the H. Pylori bacterial infection, in combination with antibiotics, known to be responsible for chronic forms of GERD with rising antibiotics resistance concerns and a need for better solutions. 

Phase 2a induction trial in Crohn’s disease (CD) in H2 2025, and top-line data from its Phase 3 maintenance trial in UC in Q2 2026.

Bryan, Garnier & Co acts as Joint Global Coordinator and Joint Bookrunner on Cinclus Pharma’s SEK 715m Nasdaq Stockholm IPO, potentially increased to SEK 787m upon full exercise of the greenshoe.

Cinclus Pharma launched its offering on June 10th 2024 at a fixed price of SEK 42 per share on the back of:
  • A strong support from historical shareholders (Trill, the Fourth Swedish National Pension Fund, Linc, shareholders in Regulus Pharma, Irrus Investments and EIR Ventures) which entered subscription commitments for SEK 181m
  • A broad and deep investor education initiative with more than 80 one-on-one meetings geared towards long-only Tier-1 institutional investors, which generated strong demand across geographies including the Nordics, Western Europe, the US and Asia-Pacific
The Offering comprised of around 17m new shares, implying a SEK 2.2bn market capitalisation, including a bridge loan from shareholders converting at the IPO price.
Demand during the bookbuilding stage was driven by high quality Long-Only and Biotech specialists from continental Europe and US.
Cinclus Pharma intends to use the proceeds of the offering to:
  • Continue the preparations of, initiate and complete the first phase 3 study of linaprazan glurate for the treatment of erosive GERD
  • Conduct additional preclinical studies necessary for market registration of linaprazan glurate for the treatment of erosive GERD
  • Finance regulatory activities and ongoing operations
This transaction is the first sizeable Swedish Biotech IPO in Sweden in 6 years since the EUR 71m IPO of Calliditas Therapeutics in June 2018.
This marks another landmark transaction for Bryan, Garnier & Co’s Capital Markets franchise in the Nordics, after the Camurus SEK 1.1bn follow-on and Egetis Therapeutics’ SEK 462m combined follow-on offerings, as well as Calliditas Therapeutics’ EUR 92m senior secured debt facility. This demonstrates the firm’s ability to operate as a true pan-European investment bank and generate international long-only demand for European growth companies.
Cinclus Pharma is a Swedish clinical-stage pharma company developing small molecules for the treatment of gastric acid-related diseases. Our lead candidate linaprazan glurate is being developed for the treatment of severe gastroesophageal reflux disease (GERD).
Cinclus Pharma was founded by pioneers in GERD treatment, both with extensive experience from Astra and AstraZeneca, where clinical Phase I and Phase II studies were performed on its product candidate linaprazan. Together with the team at Cinclus Pharma the founders are now taking the development of linaprazan glurate to the next level.