Rani Therapeutics could go the IPO route

Rani Therapeutics is reportedly moving forward with an early-stage efficacy and safety study for its robotic pills and may be on its way toward the possibility of an IPO.

According to a report in Endpoints News, Rani, led by CEO Mir Imran who shared the story on LinkedIn, revealed that its RaniPill performed as expected with 58 healthy adult volunteers in distributing octreotide to treat hormonal disorder acromegaly.

The RaniPill is designed with an enteric coating to protect it from the acid of the stomach. Once in the intestine, a chemical reaction takes place to inflate a balloon and push a dissolvable microneedle filled with a drug into the intestinal wall. The pill is supposed to be an alternative to traditional injections.

Imran told Endpoints News that the company has raised $142 million in funding and is expecting more, with an IPO becoming a “distinct possibility” about a year from now.

The report shared that among the investors in the company so far are Alphabet’s (NSDQ:GOOG) Google Ventures, Novartis (NYSE:NVS) and Takeda-owned (TYO:4502) Shire (NSDQ:SHPG).

Imran, who is known for his work on the first FDA-approved implantable cardioverter defibrillator, told Drug Delivery News in a June 2018 interview that he is seeking to make a big difference in the drug delivery space.

“Very few drug-delivery platforms will have such a profound impact on so many chronic diseases,” Imran said in 2018. “I’m trying to get that message across because this could be a huge benefit to the patients, to the payers and for the doctors who are treating these patients.”