Adagio raises $300 million in IPO, looks to advance COVID-19 antibody therapy

Tillman Gerngross, Co-Founder and CEO, Adagio Therapeutics.

Adagio Therapeutics, a Waltham startup advancing COVID-19 antibody treatments, is going public Friday just over one year after it was founded.

The company raised nearly $310 million by selling 18,200,000 shares for $17 each, in the middle of its expected range, and it will trade on the Nasdaq Global Market under the symbol ADGI. At the IPO price, the firm was valued at $1.84 billion.

Adagio, which spun out of New Hampshire-based Adimab, is developing antibody therapies that aim to treat and prevent illness caused by the coronavirus and new viral variants. Although three COVID-19 vaccines have been authorized for emergency use by the Food and Drug Administration, Adagio believes the pandemic will continue to require a “variety of effective, safe and convenient treatment and prevention options for years to come,” according to a filing with the Securities and Exchange Commission.

Adagio executives believe there is “robust commercial opportunity” for its one-shot antibody treatment, citing vaccine hesitancy, individuals not getting a second dose of a shot or potentially a booster shot, and cumbersome storage requirements of current vaccines. The company said its lead drug candidate would require a single intramuscular dose in an outpatient setting, complement and supplement COVID-19 vaccines, and potentially provide protection for one year.

The company said it could seek emergency use approval from the FDA in early 2022. Antibody treatments are based on lab-made proteins that mimic the immune system’s ability to fight off viruses.

Adagio has raised $466 million from private investors, including a $336 million funding round in April led by Boston’s RA Capital Management. Adagio has roughly 70 employees and in July hired Pfizer’s global mRNA business lead, David Hering, who was in charge of the pharma giant’s COVID-19 vaccine rollout, as its chief operating officer.