Revolution Medicines closed a public offering of 16.6 million shares, raising $862.5 million for RAS-addicted cancer therapies.
Quiver AI Summary
Revolution Medicines, Inc. has successfully completed its underwritten public offering, selling 16,576,088 shares of common stock at $46.00 each and pre-funded warrants for 2,173,917 shares at a price of $45.9999. The offering, inclusive of additional shares purchased by underwriters, generated gross proceeds of $862.5 million. The shares and warrants were offered solely by Revolution Medicines, with J.P. Morgan, TD Cowen, Goldman Sachs, and Guggenheim Securities acting as joint book-running managers for the transaction. This public offering follows a shelf registration statement filed with the SEC in March 2024, and it was made available through a prospectus. Revolution Medicines focuses on developing targeted therapies aimed at RAS-addicted cancers, with promising candidates currently in clinical trials.
Potential Positives
- Revolution Medicines successfully closed a public offering of 16,576,088 shares, raising gross proceeds of $862.5 million, which can support ongoing clinical development of its targeted therapies.
- The offering included additional shares through the underwriters' option, indicating strong investor interest and confidence in the company's prospects.
- The pre-funded warrants also add flexibility for investor participation while maintaining capital structure efficiency.
Potential Negatives
- The company raised a substantial amount of capital ($862.5 million) through a public offering, which may indicate a need for capital infusion, raising concerns about its financial health or ongoing operational expenditures.
- The issuance of pre-funded warrants instead of full shares could suggest a potential dilution of existing shareholders' equity, impacting investor confidence.
- The reliance on a public offering may limit future fundraising options and could indicate difficulties in generating sufficient revenue from its current operations.
FAQ
What is the recent public offering by Revolution Medicines?
Revolution Medicines closed an underwritten public offering of 16,576,088 shares at $46.00 per share, raising $862.5 million.
Who managed the offering for Revolution Medicines?
J.P. Morgan, TD Cowen, Goldman Sachs & Co. LLC, and Guggenheim Securities acted as joint book-running managers for the offering.
Where can I find the prospectus for the offering?
The prospectus is available on the SEC’s website at www.sec.gov or can be requested from the underwriting banks.
What types of therapies is Revolution Medicines developing?
Revolution Medicines develops novel targeted therapies for RAS-addicted cancers, including RAS(ON) inhibitors.
Which RAS(ON) inhibitors are in clinical development?
Key RAS(ON) inhibitors under development include RMC-6236, RMC-6291, and RMC-9805, targeting specific RAS oncogenic variants.
Disclaimer: This is an AI-generated summary of a press release distributed by GlobeNewswire. The model used to summarize this release may make mistakes. See the full release here.
$RVMD Insider Trading Activity
$RVMD insiders have traded $RVMD stock on the open market 47 times in the past 6 months. Of those trades, 0 have been purchases and 47 have been sales.
Here’s a breakdown of recent trading of $RVMD stock by insiders over the last 6 months:
- JEFF CISLINI (General Counsel) has traded it 7 times. They made 0 purchases and 7 sales, selling 22,164 shares.
- STEPHEN MICHAEL KELSEY (See Remarks) has traded it 16 times. They made 0 purchases and 16 sales, selling 108,014 shares.
- MARK A GOLDSMITH (See Remarks) has traded it 14 times. They made 0 purchases and 14 sales, selling 178,665 shares.
- SUSHIL PATEL has traded it 2 times. They made 0 purchases and 2 sales, selling 7,155 shares.
- MARGARET A HORN (Chief Operating Officer) has traded it 3 times. They made 0 purchases and 3 sales, selling 58,746 shares.
- JACK ANDERS (Chief Financial Officer) has traded it 3 times. They made 0 purchases and 3 sales, selling 14,137 shares.
- BARBARA WEBER sold 5,200 shares.
- LIN WEI (Chief Medical Officer) sold 5,589 shares.
To track insider transactions, check out Quiver Quantitative's insider trading dashboard.
$RVMD Hedge Fund Activity
We have seen 146 institutional investors add shares of $RVMD stock to their portfolio, and 100 decrease their positions in their most recent quarter.
Here are some of the largest recent moves:
- BVF INC/IL removed 2,502,600 shares (-41.8%) from their portfolio in Q3 2024
- WELLINGTON MANAGEMENT GROUP LLP removed 2,258,802 shares (-16.5%) from their portfolio in Q3 2024
- LORD, ABBETT & CO. LLC added 1,832,021 shares (+inf%) to their portfolio in Q3 2024
- NORGES BANK added 1,566,942 shares (+556.2%) to their portfolio in Q2 2024
- FARALLON CAPITAL MANAGEMENT LLC added 1,560,000 shares (+16.0%) to their portfolio in Q3 2024
- JANUS HENDERSON GROUP PLC added 1,497,026 shares (+32.3%) to their portfolio in Q3 2024
- ALPHABET INC. removed 1,050,900 shares (-19.8%) from their portfolio in Q3 2024
To track hedge funds' stock portfolios, check out Quiver Quantitative's institutional holdings dashboard.
Full Release
REDWOOD CITY, Calif., Dec. 05, 2024 (GLOBE NEWSWIRE) -- Revolution Medicines, Inc. (Nasdaq: RVMD), a clinical-stage oncology company developing targeted therapies for patients with RAS-addicted cancers, today announced the closing of its underwritten public offering of 16,576,088 shares of its common stock at a public offering price of $46.00 per share, before underwriting discounts and commissions, and, in lieu of shares of common stock, to certain investors, pre-funded warrants to purchase 2,173,917 shares of common stock at a public offering price of $45.9999, which represents the per share public offering price for the common stock less the $0.0001 per share exercise price for each pre-funded warrant. The shares of common stock issued and sold in the offering include 2,445,652 shares issued upon exercise in full by the underwriters of their option to purchase additional shares of common stock at the public offering price, less underwriting discounts and commissions. The gross proceeds from the offering, before deducting underwriting discounts and commissions and other offering expenses payable by Revolution Medicines, were $862.5 million. All shares and pre-funded warrants in the offering were offered by Revolution Medicines.
J.P. Morgan, TD Cowen, Goldman Sachs & Co. LLC and Guggenheim Securities acted as joint book-running managers for the offering. UBS Investment Bank acted as lead manager.
A shelf registration statement relating to these securities was filed with the U.S. Securities and Exchange Commission (SEC) on March 4, 2024, and automatically became effective upon filing. This offering was made solely by means of a prospectus. A copy of the final prospectus supplement and the accompanying prospectus relating to this offering may be obtained for free by visiting EDGAR on the SEC’s website at www.sec.gov. Alternatively, a copy of the final prospectus supplement and the accompanying prospectus relating to this offering may be obtained by contacting: J.P. Morgan Securities LLC, Attention: Broadridge Financial Solutions, 1155 Long Island Avenue, Edgewood, New York 11717, by email at prospectus-eq_fi@jpmchase.com and postsalemanualrequests@broadridge.com; TD Securities (USA) LLC, 1 Vanderbilt Avenue, New York, New York 10017, by telephone at (855) 495-9846 or by email at TD.ECM_Prospectus@tdsecurities.com; Goldman Sachs & Co. LLC, Attention: Prospectus Department, 200 West Street, New York, NY 10282, by telephone at (866) 471-2526 or by email at prospectus-ny@ny.email.gs.com; and Guggenheim Securities, LLC, Attention: Equity Syndicate Department, 330 Madison Avenue, 8th Floor, New York, New York 10017, by telephone at (212) 518-9544 or by email at GSEquityProspectusDelivery@guggenheimpartners.com.
This press release shall not constitute an offer to sell or a solicitation of an offer to buy these securities, nor shall there be any sale of these securities in any state or other jurisdiction in which such offer, solicitation or sale would be unlawful prior to the registration or qualification under the securities laws of any such state or other jurisdiction.
About Revolution Medicines, Inc.
Revolution Medicines is a clinical-stage oncology company developing novel targeted therapies for RAS-addicted cancers. The company’s R&D pipeline comprises RAS(ON) inhibitors designed to suppress diverse oncogenic variants of RAS proteins. The company’s RAS(ON) inhibitors RMC-6236, a RAS(ON) multi-selective inhibitor, RMC-6291, a RAS(ON) G12C-selective inhibitor, and RMC-9805, a RAS(ON) G12D-selective inhibitor, are currently in clinical development. Additional development opportunities in the company’s pipeline focus on RAS(ON) mutant-selective inhibitors, including RMC-5127 (G12V), RMC-0708 (Q61H) and RMC-8839 (G13C), in addition to RAS companion inhibitors RMC-4630 and RMC-5552.
Revolution Medicines Investors & Media Contacts: investors@revmed.com; media@revmed.com