California has lost another corporate headquarters, as CG Oncology, a biotech company valued at roughly $7 billion, has moved its base of operations from Irvine to Texas.
The Nasdaq-listed drug developer, which is working on treatments for bladder cancer, has officially relocated its corporate headquarters to Dallas.
The headquarters shift took effect earlier this year, said Sarah Connors, CG Oncology’s vice president of communications and patient advocacy.
The company’s new home is Pegasus Park, a nearly 26-acre Dallas hub designed to support life sciences companies, research organizations and entrepreneurs.
Connors said the relocation gives CG Oncology access to a stronger mix of business resources, including skilled talent, potential investors and strategic partners.
Dallas also offers the company a more centrally located U.S. headquarters, along with upgraded facilities, stronger infrastructure and lower operating costs.
The move places CG Oncology closer to prominent research institutions such as UT Southwestern Medical Center and the University of Texas at Dallas.
“Dallas provides CG Oncology with a strategic home within one of the nation’s fastest-growing life sciences ecosystems,” Connors said. “Pegasus Park’s unique combination of research institutions, healthcare innovation, talent and connectivity supports our long-term vision while remaining consistent with our remote-first culture.”
The move comes as CG Oncology has been on a tear with investors.
The company recently had a market valuation of about $7 billion, while its shares have roughly tripled over the past year.
And CG Oncology is hardly alone in deciding California is no longer the place to plant its corporate flag.
During Gavin Newsom’s time as governor, some of the biggest names in American business have moved their headquarters out of the Golden State.
Tesla left for Texas in 2021.
Oracle and Hewlett Packard Enterprise moved in 2020.
Charles Schwab and McKesson followed in 2019. In 2024, Chevron, SpaceX and X also announced moves out of California.
Now even a California-born restaurant icon is questioning whether the state still makes sense for entrepreneurs.
“If it were me today, I would open in Florida before I would open it in California,” Rick Rosenfield, co-founder of California Pizza Kitchen, told Fox News in July.
Executives have frequently pointed to high corporate tax rates, heavy regulations, the high cost of living and local safety or infrastructure concerns when explaining corporate departures.
Texas, Arizona and Tennessee have emerged as major destinations for companies leaving California.
Dallas has been particularly successful at attracting corporate relocations, helped by its growing population and reputation as a business-friendly market.
Public Storage recently moved its headquarters from Glendale, Calif., to Frisco.
Kelly-Moore Paints, Schwab and CBRE have also relocated to the area.
For CG Oncology, the Dallas headquarters will handle corporate and administrative work, leadership and business operations, cross-functional collaboration, company meetings and employee gatherings and events.
“As we continue to grow, Dallas positions us well to foster collaboration, attract talent and advance our mission of improving outcomes for patients with bladder cancer,” Connors said.