Avere Therapeutics, a portfolio company of RTW Biotech Opportunities, will go public through a reverse merger with NextCure Inc.
The combined entity will trade on Nasdaq as "AVRX" once the all-stock deal closes, expected by year-end, funded by $820 million raised across two private placements.
The deal marks RTW Bio's fourth reverse merger of 2026, following Yarrow Bioscience, Obsidian Therapeutics and Serapha Bio, the last of which is expected to close in the fourth quarter.
Avere is developing oral therapies targeting IL-23-driven inflammatory diseases, led by AVR-001 in psoriasis.
Proceeds from the transaction and raise are earmarked to fund AVR-001 through a Phase 2b psoriasis readout, a Phase 3 psoriasis trial and a Phase 2b trial in ulcerative colitis.
The company is run by the executive team that led Akero Therapeutics, a former RTW Bio holding, through its $5.2 billion sale to Novo Nordisk in December 2025, a deal that added 3.9% to RTW Bio's NAV that year.
"AVR-001 has a differentiated profile and the $820 million raised gives Avere ample runway", said Rod Wong, chief investment officer of RTW Investments, adding that the reverse merger reflects "a capability we have built to take private companies public efficiently".
London-listed RTW noted that Avere represented 0.3% of RTW Bio's net asset value as of 30 June, following the first $320 million placement, with a second $500 million round also expected to close by year-end.
RTW Bio's total investment across both rounds is $5.9 million.
News Intelligence what this means for the company
RTW Biotech Opportunities portfolio company Avere Therapeutics is going public via reverse merger with NextCure, raising $820 million across two private placements to fund clinical trials of AVR-001, an oral IL-23 inhibitor for psoriasis and ulcerative colitis. Avere represented just 0.3% of RTW Bio's net asset value as of June, with RTW's own $5.9 million invested across both funding rounds—a modest stake in a deal that marks the fund's fourth reverse merger exit in 2026.
The deal itself is immaterial to RTW Bio's portfolio (0.3% of NAV), though it demonstrates the fund's ability to execute public exits efficiently. The real value driver for RTW Bio remains the precedent set by Akero's $5.2 billion Novo Nordisk sale in December 2025, which added 3.9% to NAV; Avere's success or failure in Phase 2b/3 trials will determine whether this team can replicate that outcome.
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