When Azitra, a clinical-stage precision dermatology company developing innovative drugs to treat skin conditions, approached Grassi, the company found itself at an important point in its growth trajectory.
Azitra is a pre-revenue company that faces years of clinical trials for the various products in its pipeline. The company’s leaders knew the business needed substantial capital to bring its promising therapies to market. As many clinical-stage companies do, Azitra pursued an initial public offering (IPO) to raise the required capital.
For Azitra, much like every other company, the path to going public is fraught with complex regulatory requirements. Chief among those is the need for a comprehensive Public Company Accounting Oversight Board (PCAOB) audit and ongoing SEC compliance.
Azitra’s management team understood that navigating this process would require expert guidance and support. They turned to Grassi, a firm renowned for its expertise in handling PCAOB audits and guiding companies through the intricacies of SEC filings.
A Comprehensive PCAOB Audit Process
At Grassi, our professionals approached this engagement as they would any other: with diligent processes, responsive communication, and efficient workflows. We began by conducting PCAOB audits, auditing Azitra’s financial records for the previous two years, and ensuring compliance with all relevant standards.
One of the key advantages Grassi brought to the table was its nimble team structure. Unlike larger firms that often struggle to turn work around quickly, Grassi’s streamlined processes allowed for a smooth audit process and efficient turnaround times. This agility proved invaluable as Azitra’s SEC filings went through multiple rounds of comments and revisions, with Grassi’s team on hand to help update filings and provide rapid responses to regulatory queries.
Beyond the PCAOB Audit: A Long-Term Partnership
Following the core engagement of the PCAOB audit, Grassi’s team also provided Azitra with expert guidance in other elements of the IPO process. Our firm assisted with underwriter communications, preparing comfort letters and helping to build investor confidence. As the IPO date approached, our support remained consistent, ensuring that all financial aspects of Azitra’s filings were robust and could withstand the scrutiny of potential investors and regulatory bodies.
In June 2023, Azitra completed its initial public offering, raising $7.5 million. This milestone achievement not only provided Azitra with the capital it needed to advance its research and marked the beginning of a new chapter for the company as a publicly traded entity.
The relationship between Azitra and Grassi continued after the successful IPO. Recognizing the value of Grassi’s expertise and responsive service, Azitra continued to work with the firm on ongoing PCAOB compliance activities, SEC filings, and subsequent fundraising efforts. In 2024, Azitra completed a secondary offering, totaling approximately $15 million, with Grassi providing ongoing audit and compliance support throughout this process.
Azitra’s CFO has recommended Grassi to other businesses raising capital through an IPO. This word-of-mouth endorsement speaks volumes about the strength of the relationship between Azitra and Grassi.
In an engagement where timely information, unwavering diligence, and sophisticated guidance were central to Azitra’s success, Grassi’s ability to provide prompt, expert responses to Azitra’s needs has proved invaluable.
Grassi’s work with Azitra demonstrates our firm’s ability to expertly guide companies through the complex PCAOB audit process. Grassi played a crucial role in Azitra’s successful transition to a publicly traded company by combining technical expertise with first-class service and efficient processes.
Contact us today to learn more about working with Grassi’s PCAOB Audit team.
