Molecular diagnostics firm BillionToOne raised $314 million in the DNA test maker’s upsized initial public offering but saw share values slide after the first day of trading.
The Menlo Park, California-based company debuted on the Nasdaq exchange Friday, bumping up its stock offering to more than 5.2 million shares of Class A stock at $60 per share.
The company’s shares rose as high as $113.06 on the inaugural day of trading, only to see the price drop more than 8% to $100.03 by the close. Shares of BillionToOne, which trade under the ticker "BLLN," were mixed in premarket trading Monday.
J.P. Morgan, Piper Sandler, Jefferies and William Blair were the joint book-running managers for the offering and were joined by Stifel, Wells Fargo Securities and BTIG, the company said in a Nov. 7 press release.
The funds will go toward BillionToOne’s efforts to scale up its DNA testing businesses in noninvasive prenatal screening and cancer. Its technology concentrates on smaller genetic alterations and their impact compared to more traditional prenatal screening tests that look at larger changes in chromosomes.
BillionToOne’s flagship UNITY Fetal Risk Screen test checks blood samples for cell-free DNA fragments, aiding the ability to gauge the risks of recessively inherited conditions such as spinal muscular atrophy and cystic fibrosis without requiring amniocentesis or a blood sample from the male partner.
Earlier this year, the company said its screening test for Rh incompatibility among pregnant patients delivered more than 80,000 results, resulting in more efficient uses of RhoGAM shots that have been in short supply.
In June, the company reeled in $130 million in series D money, lifting BillionToOne to what was then a billion-dollar valuation.