Biotechnology company Lycia Therapeutics Inc (NASDAQ: LYCA) announced the terms of its initial public offering on Tuesday.

The South San Francisco, California-based company plans to raise $250 million by offering 14.7 million shares at a price range of $16 to $18 per share. At the midpoint of the proposed range, Lycia Therapeutics Inc would command a fully diluted market value of approximately $950 million.

Lycia Therapeutics Inc is focused on developing therapies designed to degrade disease-causing extracellular proteins, with an initial emphasis on autoimmune, inflammatory, and allergic diseases. Its technology platform, known as LYTAC (lysosome-targeting chimeras), is based on research conducted at Stanford University by Nobel laureate Carolyn Bertozzi.

Its lead candidate, LCA-0061, is designed to degrade immunoglobulin E (IgE) for the treatment of allergic diseases, including food allergies, and is currently in Phase 1 clinical trials. Preliminary data from the first eight healthy atopic subjects, two of whom received placebo, showed that IgE levels in treated subjects fell by as much as 96% from baseline. A second IgE candidate, LCA-0062, is currently undergoing pre-IND preparation work.

In addition, the company is conducting a Phase 1 clinical trial of LCA-0321, a drug designed to selectively degrade the autoantibodies that cause Graves' disease, an autoimmune thyroid condition.

Founded in 2019, Lycia Therapeutics Inc generated $4 million in revenue during the 12 months ended June 30, 2026. The company plans to list on the Nasdaq under the ticker symbol LYCA.

Jefferies, TD Securities, Evercore ISI, Guggenheim Securities, and LifeSci Capital are acting as joint book-running managers for the offering. Pricing is expected in the week of October 19.