"FibroBiologics' Nasdaq reference price has been set at $8 ahead of its direct listing on Wednesday. The company plans to list on the Nasdaq today under the symbol FBLG. The Nasdaq reference price does not reflect an offering price, or the opening price for FibroBiologics' shares. Instead, the opening public price will be determined based on buy and sell orders in the opening auction on Nasdaq."

https://www.renaissancecapital.com/IPO-Center/News/103046/FibroBiologics-Nasdaq-reference-price-is-set-at-$8-ahead-of-Wednesday-direc

If you read the S-1, you'll see that the registration statement covers the shares of lots of holders, but not Pete. He's keeping his majority control.

It is fairly typicall in venture capital investments to give the holders 'registration rights' after a certain amount of time and/or at a certain valuation level. So the company is not using this as a means of raising capital, it is likely just providing an exit for longtime holders who invested early, want to take their return and invest elsewhere.