Stone Capital-backed SPAC braves blank check waters, seeks $150 million deal – Endpoints News

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A SPAC is looking to set sail on the still choppy seas of the market with a $150 million IPO.

The Translational Development Acquisition Corporation, a public company backed by Stone Capital Partners, filed an application with the SEC to raise $150 million in an initial public offering. According to the entity’s S-1, the major shareholders are Stone Capital Partners and Michael Hoffman, founder of Stone Capital and CEO of the company. Hoffman and Stone Capital currently own 100% of the company and will own 19% post-offer.

This is not the first time that Stone Capital has gotten involved in biotechnology investments. In 2019, the company and Biosyngen partnered to establish a biopharmaceutical investment fund in Singapore. The companies have raised $50 million for Biosyngen’s biopharmaceutical technology transfer platform and to incubate companies.

While this may not be the first round for Stone Capital, the biotech market has certainly not been in the best of conditions as the bite of the bear market has not ceased, although there has been recent signs of life. Small biotechs are still resorting to staff cuts and other cuts, and SPACs aren’t immune to choppy conditions, but at least one company — Cerevel Therapeutics — has been bold enough to raise cash through to rival data.

But earlier this year, Accelus and its SPAC partner, CHP Merger Corp., ended a reverse merger after announcing they would attempt to take Accelus, publicly, through the $482 million blank check vehicle. dollars, blaming “market conditions”. And earlier this summer, Blade Therapeutics said its proposed merger partner, Biotech Acquisition Company, had mutually agreed to call things off. This took place right after Blade announced that the reverse merger was worth $254.3 million.

In July, Innovatus Life Sciences Acquisition also announced that it was withdrawing its $175 million IPO. Although the company did not cite a reason for its withdrawal, the blank check company originally filed in 2021 – when market conditions also looked dramatically different with the surge in SPACs.

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