Caris Life Sciences Raises $494M in Nasdaq IPO, Shares Surge 21%

Caris Life Sciences, a medical technology company specializing in AI-driven precision oncology, made a significant debut on the Nasdaq on Wednesday. The company successfully raised 494 million dollars through its initial public offering (IPO), with shares priced at 21 dollars each, exceeding the upper limit of the initially set price range. The offering included 23.5 million shares, resulting in a market capitalization of 7.9 billion dollars. This strong performance on the first day of trading reflects the market's enthusiasm for innovative healthcare solutions and the potential of AI in transforming cancer treatment. The company's platform leverages artificial intelligence to provide personalized treatment plans for cancer patients, aiming to improve outcomes and reduce the burden of the disease. The successful IPO and the subsequent market response underscore the growing interest in precision medicine and the role of technology in advancing healthcare.

Caris Life Sciences, headquartered in Irving, Texas, was founded in 2008. The company utilizes artificial intelligence and machine learning to analyze tumor data, aiding in cancer diagnosis and treatment monitoring. To date, Caris has completed over 6.5 million tests, covering 849,000 cases. The company's product portfolio includes the MI Profile, a molecular profiling solution that contributes to the majority of its revenue, and Caris Assure, a blood-based molecular testing solution launched in the first quarter of 2024. Additionally, Caris operates a drug discovery business, using detection data and genomic datasets to identify potential drug targets and develop therapies.

The company's financial performance has shown improvement. In the first quarter of 2025, Caris reported revenue of 120.9 million dollars and a net loss of 127 million dollars. In the same period last year, the company reported revenue of 80.7 million dollars and a net loss of 134.1 million dollars, indicating a narrowing of the loss margin. The funds raised from the IPO will be used to repay approximately 400 million dollars in debt, and the company expects to achieve profitability this year. The company's founder, chairman, and CEO stated that the proceeds from the IPO will be used to repay approximately 400 million dollars in debt, and the company expects to achieve profitability this year.

Following the IPO, the founder, chairman, and CEO will hold 41.7% of the shares. Sixth Street Partners and private equity firm JH Whitney Capital Partners will hold 9.8% and 6.8% of the shares, respectively. The IPO was led by major underwriters including Bank of America, JPMorgan, Goldman Sachs, and Citigroup, with the stock trading on the Nasdaq Global Select Market under the ticker symbol "CAI."