IMBiologics will begin a book-building process for institutional investors from the 27th to the 6th of next month, entering the KOSDAQ listing procedure in earnest. Backed by a trillion-won-scale technology transfer deal signed with a U.S. partner just four years after its founding, it proposed a valuation in the 380 billion won range at the top of the IPO price band.
The key is "realizing the value." The company's current revenue depends on license fees from a single partner. If the partner's clinical timeline is delayed or fails, the projected revenue underpinning the valuation could be shaken in an instant.
Past performance also shows the milestone model's characteristic "jumps and gaps." The company turned to profit in 2024 as revenue from its first technology transfer deal was recognized, posting 27.594 billion won in revenue and 13.998 billion won in operating profit. However, as of the cumulative third quarter last year, revenue came to 1.282 billion won and operating loss was 5.556 billion won.
In this initial public offering (IPO), the company will offer a total of 2 million shares. The desired price range is 19,000–26,000 won, with expected proceeds of 38 billion–52 billion won. The lead managers are Korea Investment & Securities Co. and Shinhan Investment Corp.
◇1.75 trillion won in remaining milestones…realization lies with the partner
IMBiologics is an antibody-based drug development company founded in 2020 by Chief Executive Ha Kyung-sik, formerly head of the bio division at HK inno.N. In 2024, it booked its first revenue by signing back-to-back technology transfer deals for its flagship pipelines "IMB-101" and "IMB-102" with U.S.-based Navigator Medicine and China's Huadong Medicine.
The Asia-region deal with Huadong Medicine has now been terminated. The rights were transferred to Navigator Medicine. Including an additional $316 million in milestones, total remaining milestones amount to $1.241 billion (about 1.75 trillion won). The figure is large, but realization depends entirely on the partner's development outcomes.
The company's projected income statement shows revenue surging to 97.658 billion won in 2028. This assumes that after completing phase 2 for IMB-101, Navigator Medicine re-licenses it to a global pharmaceutical company and that a $23 million (about 33 billion won) profit share occurs.
Another concern is that Navigator Medicine is a NewCo. A NewCo is a structure in which a separate corporation is established around a specific molecule or technology and development is driven with venture capital funding. While Meshera, a partner of D&D Pharmatech, was acquired by Pfizer and drew renewed attention recently, industry views suggest it is still hard to say sufficient success cases have accumulated.
◇Listing is only the start…a head-to-head match with the same mechanism as Sanofi
There is another hurdle: Sanofi. IMBiologics defines Sanofi as "the most direct and strategically watched competitor, given it takes a similar mechanistic approach."
IMBiologics' IMB-101 and IMB-102 both target OX40L, an immune cell activation signal. IMB-101 is a bispecific antibody that simultaneously inhibits TNF-α, an inflammatory mediator, and OX40L; IMB-102 is a monoclonal antibody against OX40L. They respectively target hidradenitis suppurativa and atopic dermatitis.
Sanofi is also developing the OX40L-targeting monoclonal antibody "amlitelimab" and the OX40L/TNF-α-targeting bispecific nanobody "briweximab." Of the two, briweximab has completed a phase 2a trial in hidradenitis suppurativa, putting it a step ahead of IMBiologics.
The company stresses differentiation in safety. It argues that because briweximab is a bispecific nanobody derived from nonhuman sources, additional verification is needed for potential risks such as immunogenicity with long-term dosing. By contrast, IMB-101 is designed on a fully human antibody platform, which it says can reduce such risks.
Ultimately, the contest will be decided by large-scale trials and long-term data. Naturally, research and development expenses will grow. The company expects R&D expenses to surge from 5.07 billion won in 2025 to 18.091 billion won in 2026 and 24.051 billion won in 2027. As a share of revenue, the ratio soars to 3,547.4% in 2027.
The company also expects losses to continue through next year. It said that even if IPO funds flow in, faster research and development could expand cash burn.
◇Many variables, but…seeking a breakthrough with cash defense and follow-on technology transfers
IMBiologics acknowledges its high reliance on Navigator Medicine. It said, "There is a risk of revenue structure volatility depending on the counterparty's strategic shifts or financial condition."
It also emphasizes that due diligence confirmed payment capability. According to the company, as of the end of Aug. last year, Navigator Medicine held more than $50 million in cash. It said the partner has the capacity to cover the estimated $18 million phase 2 cost and a $5 million milestone. It added there is no external borrowing. Navigator Medicine is said to be considering a series B fundraising and, if needed, an IPO.
It is pursuing follow-on strategies to reduce reliance. The multispecific antibody "IMB-106" is aiming for a technology transfer within the year. It said it agreed on key financial terms of a joint research and license option contract with a U.S. biotech last year.
The Antibody-Drug Conjugate (ADC) "IMB-201" is planned to pursue a technology transfer upon completing preclinical studies in 2028. It projected 21.2 billion won in revenue for 2028.
The company said it has "secured two potential partners," adding, "In addition, we are discussing with two global pharmaceutical companies highly interested in ADC development targeting HLA-G and with a domestic ADC-specialized company."