City Therapeutics, Inc. (NASDAQ: CTY) priced its upsized initial public offering of 11,111,111 shares of common stock at $18.00 per share. The clinical-stage biotechnology company expects gross proceeds of approximately $200.0 million before underwriting discounts and expenses.

The offering includes a 30-day option for underwriters to purchase up to an additional 1,666,666 shares at the same price. All shares are being sold directly by City Therapeutics. The transaction is expected to close on October 19, 2026, subject to customary closing conditions.

Offering details and trading schedule

City Therapeutics is a developer of next-generation RNA interference (RNAi) therapeutics. Its lead programs target thromboembolic diseases, retinal diseases, and anemia associated with chronic diseases.

Goldman Sachs & Co. LLC, Jefferies, Stifel, and Oppenheimer & Co. Inc. served as joint book-running managers for the offering. Registration statements were declared effective by the U.S. Securities and Exchange Commission on October 15, 2026.

What the Numbers Show

The pricing of $18.00 per share for 11,111,111 shares results in exactly $200.0 million in gross proceeds, indicating a precise capitalization target was met through the upsizing mechanism. The inclusion of an over-allotment option for an additional 1,666,666 shares represents approximately 15% of the base offering size, providing potential additional capital if exercised.

City Therapeutics has secured $99.5 million in a Series B financing round to advance its pipeline of RNA interference (RNAi) therapeutics and accelerate its engineering platform. Viking Global Investors and Sofinnova Investments participated as new investors, alongside Casdin Capital and NYBC Ventures. Existing investors including ARCH Venture Partners, Fidelity Management & Research Company, Invus, Slate Path Capital, Rock Springs Capital, Regeneron Ventures, and AN Ventures also contributed to the round.

The capital infusion will support business development activities and the progression of key clinical programs. City Therapeutics recently initiated a Phase 1 clinical trial for CITY-FXI, which targets Factor XI for the treatment of thromboembolic diseases. Additionally, the company reported positive preclinical data for CITY-RBP4, a potential first-in-class RNAi therapy for Stargardt disease. The company plans to move two programs to the clinical stage by the end of 2026.

Andy Orth, chief executive officer of City Therapeutics, stated that the financing reflects the confidence investors have in the company's platform and pipeline. He noted that since the Series A financing, the company has advanced CITY-FXI to the clinic and completed strategic collaborations with Bausch + Lomb and Biogen. The new funding positions the company to validate its innovative RNAi platform further.

Rohan Nirody, managing director at Viking Global Investors, praised the company's experienced team and compelling scientific vision. Maha Radhakrishnan, executive partner at Sofinnova Investments, also expressed confidence in the potential of RNAi to transform treatments for serious diseases. Both Nirody and Radhakrishnan will join the City Therapeutics board of directors as observers.

Key Investment Details

John Maraganore, Ph.D., co-founder and executive chairman of City Therapeutics, emphasized the team's progress in delivering on the mission to lead the next generation of RNAi-based medicines. He highlighted that the company's innovative approach is expanding the reach of RNAi medicines into new programs and tissue types.