Bellus Health
TSX: BLU / Nasdaq: BLU
As of 17 July 2025
From clinical collapse to $2B exit - two mandates, one trusted partner
Client Snapshot
- Sector: Healthcare/Biotech
- Headquarters: Montreal, Quebec
- Two Engagements:
- September 2015 – September 2016
- April 2017 – February 2022 - Market Capitalization Range:
- Start (Sep 2015): ~$90 M
- Pre-KIACTA readout peak: ~$200 M
- Post-failure low: ~$15 M - Second engagement start (April of 2017): ~$20M
- End of Bristol engagement (Feb 2022): ~$730 M
- From limited liquidity to millions of dollars per day
- Ultimate outcome: US$2 B acquisition by GSK (Apr 2023)
First Engagement (2015-2016): Building Momentum Behind KIACTA
Bristol Capital was first engaged by Bellus Health in September 2015, during the final stages of a confirmatory Phase 3 clinical trial for its rare kidney disease drug, KIACTA. At the time, Bellus had limited market visibility, a market cap of ~$90M, and minimal research coverage.
Bristol created and executed a tailored investor relations strategy focused on:
- Hosting large-scale webinars to introduce the story
- Launching targeted roadshows in New York, Toronto, Montreal, Boston, San Francisco and other markets
- Facilitating dozens of one-on-one meetings with microcap generalists and specialist biotech investors
This work helped drive market cap up to ~$200M at its peak before the clinical trial failed in late 2016. Following the disappointing outcome, Bellus' valuation declined sharply, and the company initiated a strategic review.
Second Engagement (2017-2022): Rebuilding and Repositioning
In April 2017, with Bellus at a crossroads and its valuation decimated, the company retained Bristol Capital once again. They had just licensed a preclinical asset, BLU-5937, targeting refractory chronic cough, a large unmet indication.
The mandate: rebuild the Bellus brand, reposition the story, and unlock capital markets interest.
At that time, only two firms loosely followed Bellus. Bloom Burton and Mackie Research out of Canada.
Strategy & Execution
Reinvigorating an old and Unlocking a New Investor Base
Bristol reintroduced Bellus to its 7,000+ investor network through a series of webinars and events, highlighting the chronic cough story and pipeline. These drew hundreds of vetted professional investors, many unaware of Bellus' pivot or potential.
Follow-up roadshows across the U.S. and Canada included hundreds of one-on-one meetings, carefully curated to drive traction and long-term support.
Some Capital Markets Milestones
| Date | Milestone / Event | Details |
|---|---|---|
| Dec 18, 2018 | C$35M PIPE | Brokered by Bloom Burton and led by OrbiMed, who first met Bellus via a Bristol webinar. Other participants included New Leaf, First Manhattan, AppleTree, Amzak, Fonds FTQ, and more. |
| Sep 9, 2019 | Uplisting to Nasdaq & US$70M public raise | Led by RW Baird, and supported by other US Investment banks who were introduced to Bellus by Bristol. Investors included many funds first engaged through Bristol's IR work. |
| Jul 13, 2022 | US$153M public offering | Led by Jefferies, Evercore, RBC, LifeSci. Investors included multiple funds first engaged via Bristol's marketing efforts. |
Clinical Milestones
Bristol supported Bellus across major clinical stages:
- Preclinical development of BLU-5937 (2017)
- Phase 1 readouts (2018) confirming taste-sparing profile
- Phase 2 SOOTHE trial (2021) with positive efficacy data
Our strategic IR program helped:
- Reframe expectations around BLU-5937
- Build belief in the new pipeline direction
- Educate many generalist and healthcare focused institutional investors
- Gain valuable analyst research and investment banking relationships
- Unlock the valuation necessary to fund and validate continued development
Final Result: Acquisition by GSK
In April 2023, GSK acquired Bellus Health for US$2B, marking one of the most successful biotech exits in recent Canadian memory.
From a $15M near-cash shell in 2017 to a $730M business by mid-2022 and $2B exit the following year, the turnaround was powered by effective IR execution and strategic capital markets access.
Summary Takeaways
- Bellus scaled from $90M → $200M (2015-16) before a failed trial
- Rebuilt from $15M → $730M (2017-22) with new asset and IR overhaul
- Uplisted to Nasdaq (2019)
- Raised ~US$250M+ across several deals led by RW Baird, Jefferies, Evercore, and others
- Grew from 2 covering research firms to 8+
- Acquired by GSK for US$2B (2023)
Bristol's second engagement concluded in June 2022 after exceeding all IR objectives. The company's internal team was fully equipped to manage further growth, and Bellus remains a strong reference client for Bristol Capital to this day.
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