ASX biotech IPOs - 10-year performance and outlook
- Wed 19 November 2025
- 7 MIN READ
The Australian biotech sector has demonstrated resilience and innovation over the past 10 years. With the high-risk and high-reward nature of drug development, some companies have faced significant hurdles yet others have achieved success.
Guest Listed@ASX contributor, Mark Pachacz, Editor of Bioshares, explores the biotech sector performance over the past 10 years and casts an eye forward at the market outlook.
Over the last 10 years, the Australian biotech sector has demonstrated resilience and innovation, with 71 companies listing on the ASX. Despite the risks associated with this sector, the new listings delivered an average gain of 47% (as at Monday 3 November 2025) – a testament to the sector’s growth potential over the long term.
Navigating risk and reward
Given the nature of drug development, biotech is a high-risk and high-reward sector with some companies facing significant hurdles. This has seen 22 companies (31%) down more than 90% from their listing price, with six of those companies either having delisted, gone into administration, or changed businesses.
Yet others have achieved success. It is worth noting that two stocks, Telix Pharmaceuticals (ASX:TLX) and Race Oncology (ASX:RAC) have largely been responsible for the average sector gains by setting new benchmarks through significant gains. Telix Pharmaceuticals increased by 2332% from listing, and Race Oncology, is up 1575%. Excluding these two stocks, the average result shows an 8% decline.
Telix - emerging as a global leader, the next CSL?
Emerging as the sector’s flagship success story, Telix has been the clear outstanding performer from IPOs in the biotech sector over the last decade.
It is seeking to follow the path of the biotech GOAT, CSL (ASX:CSL), which listed in 1994 at $2.30 a share. Including its one for three share split in 2007, CSL has generated a 229-fold return from listing, which excludes dividends paid. CSL is now capitalised at $85 billion (down from its 12-month high of $140 billion). It is the seventh largest stock on the ASX, behind the four major banks, BHP Group (ASX:BHP) and Wesfarmers (ASX:WES).
Telix Pharmaceuticals listed in 2017 at $0.65 and has generated a stellar return for investors over this period. It has achieved over a 20-fold gain, up 2332% since listing. The stock is currently down 50% from its 12-month high. Telix is developing a suite of radiopharmaceuticals to both diagnose and ablate tumours in the body through a highly targeted approach.
"Emerging as the sector’s flagship success story, Telix has been the clear outstanding performer from IPOs in the biotech sector over the last decade. "
The company has been built through asset acquisitions – at least 12 assets and businesses since listing – through the ability to raise substantial funding, and the capacity to execute rapidly on its strategy.
In April 2022, the company released its first product, Illuccix, for real-time imaging of prostate cancer in the body. That product is currently tracking annual sales at US$620 million, with the company forecasting sales for calendar year 2025 of between US$800 – US$820 million. This includes revenue from its recent RLS Radiopharmacies acquisition. Formed in 2015, the company now employs more than 1,100 staff globally.
Telix is capitalised at A$5.2 billion. It has raised $330 million on the ASX, including through its $50 million IPO. The company also raised $650 million last year through a convertible bond issue, and $25 million in upfront payments from a licensing deal with China Grand Pharmaceutical in 2020 (plus $25 million included in the above equity raise total).
The rise of Race Oncology
"Race Oncology has surged since Tuesday 1 July 2025, with the stock up 185% from that date."
Race Oncology has surged since Tuesday 1 July 2025, with the stock up 185% from that date. This increase has been as the result of Race progressing with the commercialising an oncology compound, previously sidelined by the original drug developer due to solubility issues.
With those issues solved, the company has commenced its Phase I study of its drug candidate, RC220, in combination with the chemotherapy drug doxorubicin in June this year.
The company believes its compound not only has anti-cancer properties but also provides cardioprotective effects. Race has a market capitalisation of $590 million.
The companies included in this analysis cover both IPOs and backdoor listings, when a listing entity acquires a new asset and refocuses its business.
Other strong performers
Another success for the sector was Volpara Health Technologies, which was acquired last year by South Korean medical AI company, Lunit. Volpara commercialised breast density measurement to improve breast cancer screening, resulting in earlier and more accurate detection of breast cancers. The stock delivered a 130% gain for investors from its listing price in 2016.
Blinklab (ASX:BB1) listed on the ASX in April last year at $0.20 per share and is up 290%. The company is developing a smartphone-based app to diagnose autism and other behavioral disorders. In study results recently announced, the Blinklab test was able to achieve an accuracy of 84% (83.7% sensitivity and 84.7% specificity). The study involved 485 children. Blinklab is now moving into its final study for US approval, which is expected to recruit just over 500 children.
The company is an example of commercializing assets developed in the US and the Netherlands, with funding from Perth, via an ASX listing.
"Blinklab (ASX:BB1) listed on the ASX in April last year at $0.20 per share and is up 290%."
Another radiopharmaceutical company that has performed well is Clarity Pharmaceuticals (ASX:CU6), which is following the successful path lay down by Telix. Clarity’s compounds use different isotopes and tumour targeting agents than that of Telix. Its stock is up 244% since listing.
Capital flow and market outlook
"Including both IPOs and follow-on capital raises, $13.2 billion has been raised in the sector since 2016. Last year, a record $2.4 billion was raised."
Including both IPOs and follow-on capital raises, $13.2 billion has been raised in the sector since 2016. Last year, a record $2.4 billion was raised, from a low of $750 million in 2018. In the first six months of this year, $747 million was raised. And it was a strong start to the second half with Clarity Pharmaceuticals raising $203 million in July.
Whilst the funding entering the sector is at record levels, this has yet to translate to increased investor appetite for biotech IPOs. Although that may be about to change. (See table below.)
IPO outlook – two major IPOs in process
So far in 2025 there has been just the one biotech IPO on the ASX, Tetratherix (ASX:TTX), which is developing a ‘biostealth fluid matrix’ that changes state with temperature. Initial applications are as a bone filler, and to protect healthy organs from radiotherapy. The stock made a strong listing, up 49%. This could suggest a receptive IPO market for biotechs in Australia.
In 2024, there were four biotech IPOs – Blinklab, Tryptamine Therapeutics Limited (ASX:TYP) (backdoor listing), ReNerve Limited (ASX:RNV) and Vitrafy Life Sciences Limited (ASX:VFY). Two of these stocks are trading above their listing price and two below, with an average gain of 77%.
A key issue for the sector this year has been how to adjust to the substantial regulatory changes at the FDA in the US brought about by the Trump administration, and the new tariffs being imposed on pharmaceutical imports. However, there are signs biotech investors in Australia and the US are becoming more comfortable with the changed commercial and political environment.
In the US, the best measure of sector sentiment can be measured by the Nasdaq Biotech Index performance; in the first six months of this year, the index was down 1.2%, but has surged 25% from 1 July.
Following the Tetratherix ‘test case’, the biotech IPO appears to be opening in Australia with two significant listings in process.
Saluda Medical is due to list at the start of next month at $2.65 a share, raising $230 million in the process. The company has developed a spinal cord stimulation device – the EVOKE System – for the use by people living with chronic pain. In FY25, the company generated US$70 million in revenue. Former Australian venture capitalist, Geoff Brooke (also on the boards of Acrux and Cynata Therapeutics), is a director, as is former Cochlear Limited (ASX:COH) CEO Catherine Livingstone. The company will have an indicative market capitalization of $668 million on listing (on an undiluted basis). The company’s EVOKE product was launched just three years ago.
"Saluda Medical is due to list at the start of next month at $2.65 a share, raising $230 million in the process."
"Epiminder is also looking to list early next month. The company is seeking to raise $125 million at $1.50 per share."
Epiminder is also looking to list early next month. The company is seeking to raise $125 million at $1.50 per share. Epiminder has developed an implantable EEG monitor for epilepsy that tracks brain activity, providing information to better control seizures. The technology was developed at the Bionics Institute in Melbourne, the University of Melbourne, and at Cochelar. Directors include Robert Klupacs (CEO of the Bionics Institute) and Donal O’Dwyer (former director of Cochlear). Its CEO, Dr Rohan Hoare, is a director of the Epilepsy Foundation of Texas.
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