Mount Sinai Well being System-backed Sema4 goes public at $3B valuation

Scientific information and genomics firm Sema4 debuted on the inventory market Friday, elevating $500 million to “step on the gasoline” and speed up the expansion of its healthcare intelligence platform.

The Connecticut-based enterprise of Mount Sinai Well being System went public through a SPAC merger at a valuation of round $3 billion. Sema4 introduced the deliberate merger in February after closing a $121 million sequence C in August 2020.

It started buying and selling on the Nasdaq World Choose Market Friday beneath the ticker symbols “SMFR” and “SMFRW.”

Spun out of Mount Sinai in 2017, the Sema4 platform makes use of machine studying and different synthetic intelligence instruments to investigate a database of greater than 10 million affected person genomic profiles and scientific data, with the purpose of bettering physicians’ capability to diagnose, handle and finally stop illness. The corporate has entered into varied partnerships with well being methods to construct genomics packages, together with Northshore and AdventHealth.

Sema4’s healthcare intelligence platform goals at constructing fashions able to predicting the programs of circumstances and particular person outcomes.

The corporate intends to make use of the inflow of capital—roughly $500 million in money proceeds—to assist its natural working wants and capitalize on inorganic alternatives to speed up development by the acquisition of complementary companies. The corporate additionally plans to make use of the funds to extend uptake of Sema4’s well being platforms in healthcare methods and investments in integration.

“With the capital raised from this profitable transaction, we’re well-positioned to assist additional shut the hole between the apply of drugs and the supply of extra clinically actionable steering so as to enhance the usual of care,” mentioned Eric Schadt, Ph.D., founder and chief government officer of Sema4 in a press release.

RELATED: Janssen groups up with Sema4 for most cancers trial matchmaking service

“We stay up for persevering with to develop and scale our modern well being intelligence platform to allow well being methods in delivering precision drugs as the usual of care,”  he mentioned.

With the merger now full, Sema4 can now “actually step on the gasoline and speed up its highly effective enterprise mannequin,” mentioned Eli Casdin, former chief government officer of CM Life Sciences.

“This can be a distinctive firm set to rework healthcare by leveraging genomic and scientific information with synthetic intelligence and machine studying to ship an enhanced understanding of illness and wellness,” he mentioned.

Sema4’s enterprise combines spectacular scale, development and innovation, based on Keith Meister, former chairman of CM Life Sciences.

“The extra capital from this transaction will assist Sema4 additional advance its relationships and partnerships with well being methods and biopharmaceutical entities over the subsequent a number of years. Whereas there are various firms in search of to harness the potential of huge information in healthcare, Sema4 has constructed a differentiated information ecosystem and platform driving personalised drugs and improved well being outcomes,” Meister mentioned in a press release.

RELATED: Sema4 companions with Connecticut to help state COVID-19 testing

This previous 12 months, the corporate inked a handful of latest genomics and information analytics partnerships. Janssen teamed up with the Stamford-based firm to faucet its genomic testing and information analytics platform in an effort to higher search out the most effective sufferers for its most cancers trials, Fierce Biotech reported.

The corporate additionally expanded its partnership with the state of Connecticut to offer COVID-19 testing to residents, in addition to state staff and first responders.

In 2018, the corporate partnered with Sanofi on a five-year longitudinal examine of practically 1,200 bronchial asthma sufferers, with plans to include digital instruments to develop a greater understanding of the illness.

Following the merger, the Sema4 board of administrators consists of a number of outstanding executives beforehand unaffiliated with Sema4: Eli Casdin, Emily Leproust, chief government officer of Twist Bioscience, Jason Ryan, most lately chief working and monetary officer of Magenta Therapeutics and Nat Turner, co-founder of Flatiron Well being. They be a part of administrators Dennis Charney, Michael Pellini, Joshua Ruch, Dr. Schadt, and Rachel Sherman.

Goldman Sachs & Co. LLC and J.P. Morgan Securities LLC served as monetary advisors to Sema4. Jefferies LLC acted as sole monetary advisor, lead capital markets advisor, and sole placement agent to CM Life Sciences.