Iambic IPO: Trading Begins in the Biotech Stock, Backed by Nvidia and Cathie Wood

Pre-market trading in shares of biotech company Iambic Therapeutics, which develops drugs using artificial intelligence, has begun on the Freedom client trading platform. Among its investors are chipmaker Nvidia and a fund managed by ARK Investment’s Cathie Wood. Together with Stanley Druckenmiller’s family office, the fund plans to purchase $60 million worth of shares during the IPO. Later on October 15, Iambic’s shares will begin trading on Nasdaq under the ticker symbol IAM.

The biotechnology company Iambic raised $150 million in its IPO on the Nasdaq. It sold 9.38 million shares at $16 apiece—the midpoint of the previously announced price range. The company is thus valued at $758 million.

Specifically, ARK Investment Management—a fund led by Cathie Wood, an existing investor in the biotech company—and the family office of billionaire Stanley Druckenmiller planned to purchase $60 million worth of shares — the Duquesne Family Office, the company wrote in its IPO prospectus filed with the regulator.

JPMorgan, Jefferies, BofA Securities, and Citigroup served as underwriters for the offering. They were granted a 30-day option to purchase up to 1.4 million shares of the company.

According to the IPO documents, the company plans to allocate most of the proceeds from the transaction to clinical trials of its products, with the remainder going toward further training of the AI models it uses to develop experimental drugs.

Iambic, founded in 2019 under the name Entos, develops anticancer drugs using its AI platform. It was founded by scientists and entrepreneurs Tom Miller and Fred Manby, whose interests, according to the IPO prospectus, lie in the application of technology in chemistry and biology.

“AI is a revolutionary application for chemistry,” Miller told *Drug Discovery*. The development of any molecule—whether it’s a drug, a catalyst, or a polymer—is chemistry, that is, the process of optimization in complex environments, he explained. The point is that the main challenge in drug development is the need to take into account a multitude of parameters, Manby explained. Iambic’s technologies make it possible to select the most promising compounds and then model the molecules.

It currently has three in-house drug candidates in its pipeline. The most advanced of these, IAM1363, is intended for the treatment of cancers associated with a mutation in the HER2 gene. This genetic abnormality causes cancer cells to divide uncontrollably, leading to rapid disease progression. Iambic claims that its drug penetrates brain cells and inhibits the division of tumor cells.

Four other initiatives are partnership programs with big pharma companies—Takeda, AbbVie, Bayer, and Lundbeck—according to the company’s website. These partnerships are the company’s main source of revenue, it states in its IPO prospectus. In the first six months of 2026, revenue from these partnerships grew 3.2 times year-over-year to $12.75 million.

Iambic has never had any trouble raising funds, according to Fiercebiotech. Since its founding, it has raised approximately $461.8 million, including funding from Nvidia and, according to its IPO prospectus, from the venture capital firms Catalio and Nexus Ventures.

The company has significant capital from a large syndicate of investors, notes IPO specialist Donovan Jones in a blog post on Seeking Alpha. As of the end of June, Iambic had $207.9 million in its accounts, and if the IPO goes according to plan, the biotech company will have enough cash to last until the end of 2028, according to its statement, Fiercebiotech reports.

Jones describes Iambic as an unusual biopharmaceutical company: “It appears to be a prime example of the integration of large-scale AI technologies with ‘automated, scalable experiments in chemistry and biology.’ He also highlights its wide range of partners.”

At the same time, Iambic itself states in its IPO prospectus that its approach is new and untested, as it has not yet led to the development of a single approved drug, and there is no guarantee that this will happen.

The main risk for the company is the drug’s rejection or poor trial results, which could significantly affect the stock price in the future, says Freedom analyst Alem Bektemirov. The broker has set a target price of $18.1 for the biotech company’s shares, representing 13% upside potential relative to the offering price. In their calculations, the analysts assumed that by 2031, Iambic will already be generating revenue from the commercialization of its products.

"Iambic is exposed to all the risks typical of a biopharmaceutical company—from clinical trial failures to future financing risks and competitive pressure," Jones summarizes. Although the company is currently well-capitalized, it is entering the most costly stages of drug development, he warns.

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Freedom clients will be able to trade Iambic shares before the main trading session opens. Trading will begin in the early pre-market session 2–3 hours before U.S. markets open (from 3:30 p.m. to 4:30 p.m. Astana time). To participate, click on the IAM ticker.