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VACC Stock IPO: 7 Things to Know as Vaccitech Starts Trading Today


Today, the American Depositary Receipts (ADRs) of biotech company Vaccitech (NASDAQ:VACC) began trading. Much to the dismay of investors in VACC stock, shares are down more than 13% at the time of writing.

A needle rests on a reflective table next two clear glass vials of a clear liquid.

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Indeed, this IPO was expected to be one of the hottest of April. Early stage biotech startups are all the rage these days. Companies with exposure to Covid-19 vaccines, even more so.

Vaccitech’s real allure is with the company’s partnership with AstraZeneca (NASDAQ:AZN) to bring its Covid-19 vaccine to fruition. Indeed, Vaccitech was one of the key partners in developing this vaccine. The company is a spin-out from the University of Oxford’s Jenner Institute. This is one of the most highly respected research institutes globally for vaccine production.

As vaccine rollouts accelerate globally, investors have looked at Vaccitech as a unique play on the AstraZeneca vaccine. Today, it appears this catalyst is working against investors.

Here’s some more information on what investors might want to know about this IPO.

Here’s What Went Down With the VACC Stock IPO

  • Yesterday, Vaccitech announced the pricing for its IPO. Share were priced at $17 per ADR, and 6.5 million ordinary shares were listed.
  • Accordingly, the company reported gross proceeds of more than $110 million as a result of the transaction.
  • Today, the stock opened at $13.62, representing a 20% discount to its IPO price.
  • However, since then, shares have recovered to the $14.60 level at the time of writing.
  • Investors appear to be less-enthused about this biotech stock than initially expected.
  • Indeed, shares are currently trading well below the bottom end of the $16-$18 range initially discussed by Vaccitech.
  • Recent reports about the struggle AstraZeneca has had in gathering data needed for FDA approval appears to be at play with VACC stock today.

On the date of publication, Chris MacDonald did not have (either directly or indirectly) any positions in the securities mentioned in this article.

Chris MacDonald’s love for investing led him to pursue an MBA in Finance and take on a number of management roles in corporate finance and venture capital over the past 15 years. His experience as a financial analyst in the past, coupled with his fervor for finding undervalued growth opportunities, contribute to his conservative, long-term investing perspective.

Article printed from InvestorPlace Media, https://investorplace.com/2021/04/vacc-stock-ipo-7-things-to-know-as-vaccitech-starts-trading-today/.

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