Biotech IPOs hit a historic low in 2025 with only eight companies going public, the lowest in the post-pandemic era1.
2026 sees a resurgence with notable IPOs like Eikon Therapeutics ($381M on Feb 5), Aktis Oncology ($318M in January), and Generate:
Biomedicines ($425M in late February), all highlighting AI in drug development1.
Experts attribute the rebound to AI reducing risks in drug development by optimizing trials, quantifying success probabilities, and aiding investor due diligence1.
Investors anticipate further 2026 growth due to lower interest rates, policy clarity, and focus on late-stage pipelines2.
Hong Kong sees over 10 biotech firms, including AI-powered platforms like Hangzhou Diagens and Exegenesis Bio, filing for IPOs amid global AI interest3.
Sources:
1. https://www.biospace.com/business/biotech-ipos-rebound-as-ai-takes-a-more-central-role-in-drug-development
2. https://virginiabusiness.com/biotech-investors-eye-2026-rebound-ipo-hopes/
3. https://www-scmp-com.libproxy1.nus.edu.sg/business/banking-finance/article/3346710/hong-kong-attracts-wave-biotech-ipo-filings-amid-ai-drug-boom