UPDATE 1-GIC-backed clinical trial firm WCG eyes up to $6.45 bln valuation in U.S. IPO

Reuters
·1 min read

(Adds details on offering, background)

July 27 (Reuters) - WCG Clinical Inc, a clinical trial solutions company backed by Singapore's sovereign wealth fund GIC, said on Tuesday it was aiming to raise up to $765 million in its U.S. initial public offering.

The IPO would value the company at $6.45 billion, at the top end of its targeted price range of between $15 and $17 per share, according to a regulatory filing. (https://bit.ly/3rJydX5)

WCG, which also counts buyout firm Leonard Green & Partners LP among its investors, plans to sell 45 million shares as part of its IPO.

Companies that assist in the clinical research process saw a spike in demand last year as pharmaceutical companies tried to prevent the coronavirus outbreak from derailing their drug rollouts.

WCG's revenue jumped by a third to $137.6 million in the three months ended March 31, the filing showed. However, it incurred a net loss of $20.6 million in the same period, compared with a loss of $30.1 million a year earlier.

The company plans to list its shares on the Nasdaq under the symbol "WCGC".

Goldman Sachs, Morgan Stanley and BofA Securities are among the underwriters for the offering. (Reporting by Niket Nishant and Sohini Podder in Bengaluru; Editing by Aditya Soni and Shounak Dasgupta)