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Aardvark Therapeutics Inc. made its public market debut Thursday, securing $94 million in its initial public offering (IPO). The obesity-focused biotech firm priced its shares at the bottom of its projected range, marking its entry into a surging biotech IPO market.

The San Diego-based company, advised by Paul Hastings LLP, sold 5.9 million shares at $16 apiece, landing at the lower end of its $16 to $18 marketing range. The offering values Aardvark at approximately $342 million, based on its 21.4 million outstanding shares, according to regulatory filings.

Aardvark Targets Metabolic Breakthroughs

Aardvark is entering the public sphere with the goal of advancing novel treatments for metabolic disorders, including ARD-101, a lead therapy currently undergoing clinical trials. The company is also developing ARD-201, a drug designed to combat obesity and aid weight loss.

"We are focused on targeting biological pathways linked to hunger suppression, which we believe can lead to transformative results for patients," the company stated in its U.S. Securities and Exchange Commission (SEC) filing.

The pre-revenue biotech firm is backed by health-focused private investors, including Decheng Capital and Vickers Venture Fund. Aardvark’s last private financing round, a Series C preferred stock sale, raised $85 million in May 2024.

Biotech IPOs on the Rise

Aardvark's Nasdaq debut—trading under the symbol "AARD"—comes as the biotech IPO landscape heats up. Last week, Sionna Therapeutics, focused on cystic fibrosis treatments, raised $191 million, while Metsera Inc., another obesity drug developer, netted $275 million in an upsized offering last month.

Underwriters could push Aardvark’s IPO haul to $108.4 million if they exercise their 30-day option to purchase an additional 883,200 shares.

Wall Street Backs Biotech’s Expansion

Morgan Stanley, BofA Securities, Cantor Fitzgerald, and RBC Capital Markets are underwriting the IPO, signaling strong institutional support for the next generation of obesity and metabolic treatments.

Legal Teams Steering the Deal

A Paul Hastings LLP team, led by Jeff Hartlin, Samantha Eldredge, and Elizabeth Razzano, advised Aardvark on the offering. The underwriters are represented by Cooley LLP, with a team spearheaded by Charlie Kim, Kristin VanderPas, Denny Won, and Jean Park.

With Aardvark now trading publicly, all eyes are on whether its experimental therapies can deliver blockbuster results—both in the clinic and on Wall Street.