Ayala Pharmaceuticals Headed for Nasdaq IPO

Israel-based Ayala Pharmaceuticals Inc., a clinical-stage company developing therapies for genetically-defined cancers, is planning a Nasdaq initial public offering (IPO) according to a company valuation of $400 million, two people familiar with the matter told Calcalist Monday on condition of anonymity. Ayala is looking to raise $100 million, these people said, adding that the company has already tapped two U.S. banks to lead the IPO. According to the people’s estimates, the chosen banks are Citi Bank and Jefferies Group LLC.

Founded in 2017 and headquartered in central Israel, Ayala is a precision oncology company developing targeted therapies for rare cancers that are clinically underserved. In May 2019, Ayala completed a $30 million series B funding round, led by one of its existing investors, pharma multinational Novartis International AG. Israel Biotech Fund, Israeli insurer Harel Insurance Investments & Financial Services Ltd., and Israel-based life sciences, healthcare, and technology venture capital firm aMoon also participated in the round. To date, the company has raised $52.60 million, according to Pitchbook data.