Evommune soars past IPO slowdown with $150M debut amid federal shutdown

Evommune raised $150 million in an IPO on Nov. 5, becoming one of the few biotechs to go public in 2025 and the second to use a workaround during the U.S. government shutdown.

Why it matters: The move shows biotech IPOs are still possible despite regulatory slowdowns, and underscores growing investor interest in alternative treatments for immune-related diseases.

Backstory: Based in Palo Alto, Evommune is developing oral drugs for chronic skin hives and atopic dermatitis, targeting patients underserved by existing injectables like Xolair and Dupixent. The company used a seldom-invoked section of the Securities Act that allows IPO pricing 20 days after filing an amended registration, bypassing the SEC review halted by the shutdown.

Big picture: Biotech IPOs have slumped; only 10 so far this year versus over 20 by this time in 2024, according to BioPharma Dive data. Evommune and MapLight’s use of regulatory loopholes may offer a playbook for others seeking to tap public markets amid government inaction.

Zoom in: EVO756, an oral treatment targeting MRGPRX2, is in Phase 2 trials for urticaria and dermatitis, while EVO301, acquired from AprilBio, targets IL-18 and is being tested for dermatitis and, next year, ulcerative colitis. Evommune previously raised $267M from top investors, including EQT Life Sciences and RA Capital.