BillionToOne IPO: Inside the Biotech Offering That Has Investors Talking (BLLN)

Adam Mitchell
5 days ago
5 min read

With its roots in molecular diagnostics and a clear focus on disrupting the genetic testing market, BillionToOne is preparing to list on the Nasdaq Global Select Market under the ticker BLLN. The company is offering 3,846,000 shares of Class A common stock, with pricing expected between $49.00 and $55.00 per share.

Whether you’re a seasoned biotech investor or exploring IPO opportunities for the first time, understanding the structure and fundamentals of this offering is critical. Below is a deep dive into what makes this IPO noteworthy and what investors should consider before jumping in.

What is BillionToOne?

BillionToOne operates at the intersection of biotech innovation and scalable clinical application. Founded to improve disease detection accuracy, the company has built proprietary molecular counting technologies capable of detecting extremely low-level DNA variants in blood samples.

Its key diagnostic platforms are designed to address both reproductive health and oncology, two markets with strong clinical and commercial demand. The main product lines include:

UNITY Fetal Risk Screen A single blood test for mothers that detects whether the fetus is at risk for inherited conditions, even if the paternal DNA is not available. This significantly reduces follow-up testing and anxiety.
Northstar Select and Northstar Response Targeted oncology panels used for therapy selection and disease monitoring. The technology has demonstrated sensitivity at variant allele frequencies as low as 0.15 percent, outperforming many leading competitors.

These products aren't in early development, they're actively being used in clinics, covered by insurers, and generating recurring revenue. The tests have been accessioned over 1 million times since launch.

IPO Breakdown

Offering Snapshot

Shares offered: 3,846,000
Price range: $49.00 to $55.00
Ticker: BLLN
Exchange: Nasdaq Global Select Market
Over-allotment: 576,900 shares
Additional registration: 884,580 shares in case of offering increase

The IPO will be underwritten by a robust syndicate, including J.P. Morgan, Piper Sandler, Jefferies, William Blair, Stifel, Wells Fargo Securities, and BTIG. These firms bring a mix of institutional trust and broad market access.

Additionally, up to 5 percent of the offering is earmarked for employees, board members, and other affiliates via a directed share program, a move that often signals internal confidence.

The Capital Structure

BillionToOne will utilize a dual-class stock structure post-IPO:

Class A shares: One vote per share, offered to the public.
Class B shares: Fifteen votes per share, held by insiders and not part of the IPO.

Co-founders Oguzhan Atay (CEO) and David Tsao (CTO) will retain full ownership of the Class B stock, which translates into approximately 64.4 percent voting control after the IPO.

This centralized control structure is typical among founder-led tech and biotech companies, though it limits shareholder influence over major decisions. Investors should weigh the benefits of founder vision against reduced governance rights.

Digging Into the Financials

BillionToOne’s revenue trajectory stands out in a crowded diagnostics space. Here’s a closer look at its key financial metrics from the filing:

Annualized revenue run-rate: $265 million (as of Q2 2025)
LTM revenue (June 2025): $209 million
Revenue CAGR (2021-2024): 167 percent
YOY revenue growth (Q2 2025 vs Q2 2024): 84 percent
Gross profit margin (2025): 65 percent, up 14 percentage points
EBITDA (Q2 2025): $0.1 million
Net loss (Q2 2025): $0.2 million

Despite years of net losses, including $83 million in 2023, the company is now entering cash-flow neutral territory, an important milestone for an emerging growth company.

One standout operational efficiency is its $1.8 million ARR per sales representative, which significantly exceeds industry norms for diagnostic sales teams. That kind of productivity helps sustain both revenue growth and margin improvement without needing an unsustainable increase in headcount.

Market Opportunity and Competitive Position

The diagnostics market is massive, and BillionToOne has positioned itself to capitalize on a particularly underserved segment.

Total Addressable Market

Estimated $100 billion U.S. annual opportunity
Approximately 50 percent of this is from early cancer detection, a space where BillionToOne is not yet selling products but holds proprietary technology capable of rapid deployment.

The company competes with firms like Natera, Invitae, Guardant Health, and Exact Sciences, but its single-molecule sensitivity and low-cost scaling model set it apart.

Notably, their tests are already covered for 225 million lives through insurer contracts, a key hurdle many competitors fail to clear.

Clinical Value and Patient Impact

The filing included real case studies illustrating the value of BillionToOne’s products:

Prenatal Screening Example: A woman identified as a carrier for cystic fibrosis avoided unnecessary partner testing due to UNITY's low fetal risk readout.
Cancer Monitoring Case: A lung cancer patient was matched to a targeted EGFR therapy thanks to Northstar Select’s ultra-sensitive detection, outperforming other tests with higher detection thresholds.

These examples aren’t just marketing fluff. They highlight how real patients benefit from early and accurate information, which directly translates into improved health outcomes and reduced medical costs.

Strategic Risks

Every investment has risk. BillionToOne’s IPO filing outlines several that are worth paying attention to:

Customer Concentration: The company generates a meaningful portion of its revenue from a few major payors. Changes in contract terms or renewals could impact financial stability.
Product Dependency: While UNITY and Northstar are growing, a significant portion of revenue is tied to a few core products. Delays in new product development could slow growth.
Regulatory Scrutiny: Diagnostics are heavily regulated. Any changes in FDA requirements or payer guidelines could introduce delays or extra costs.
Litigation Exposure: As with many medtech firms, IP challenges or patient outcomes could lead to lawsuits that materially affect the company’s reputation or finances.
Founder Voting Control: With Atay and Tsao controlling more than 60 percent of voting power, minority shareholders will have little say in future governance decisions.

Final Thoughts

BillionToOne’s upcoming IPO blends solid revenue growth, meaningful clinical utility, and scalable technology. While still early in its profitability journey, the company’s rapid growth and expanding margins are compelling.

Investors should weigh the potential upside against the risks tied to its dual-class share structure, product concentration, and limited voting rights. This is not a speculative pre-revenue biotech, it’s a revenue-generating diagnostics firm with a differentiated product and a growing footprint in the healthcare ecosystem.

If you’re bullish on precision diagnostics and looking for exposure to a company that combines technical depth with operational traction, BillionToOne may be worth watching closely as it hits the public markets.

FAQs

What is the total valuation at IPO?

Based on the midpoint of $52 per share, BillionToOne’s IPO would value the company between $2 billion and $2.5 billion, depending on how many shares are ultimately sold and whether the over-allotment is exercised.

Is BillionToOne already profitable?

Not yet. However, with gross margins rising and losses narrowing, the company is trending toward breakeven.

Will insiders be selling shares during the IPO?

No insider sales are currently planned. The IPO proceeds will go to the company, not existing shareholders.

What’s the lock-up period for insiders?

The standard 180-day lock-up period will likely apply, meaning insiders can't sell their shares until mid-2026 unless underwriters grant an exception.

Is there international expansion in the pipeline?

The current business model is focused on U.S. diagnostics, though the platform has potential for global application. No international strategy has been detailed in the S-1.

Financial Disclaimer

This article is for informational purposes only and does not constitute investment, financial, or legal advice. It does not take into account your personal financial situation or risk profile. Investing in IPOs and individual stocks carries inherent risks, including the loss of capital. You should consult a licensed financial advisor before making any investment decisions.

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