Rapport Prices $175M Stock, $150M Convertible Notes and $30M Private Placement
RAPP is trading near its 52-week low of $23.75 (8.2% below the low).
Summary
Rapport priced a combined ~$355M raise — $175M of stock at $21.00, $150M of 2.25% convertible notes due 2032, and a $30M private placement — extending its cash runway through the end of 2029.
Key Events · Financing and Capital Events · RAPP
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Three-Part Raise Priced at $21.00
About $175.0M of common stock at $21.00 per share, up to ~$25.0M of pre-funded warrants at $20.999, $150.0M of 2.25% convertible notes due 2032, and a ~$30.0M concurrent private placement at the same $21.00.
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Notes Convert 27.5% Above Equity Price
The initial conversion price is ~$26.7750 per share (37.3483 shares per $1,000 principal), a 27.50% premium to the $21.00 offering price. The notes are redeemable on or after the later of December 6, 2030 and 60 days after FOCUS 1/FOCUS 2 and bipolar mania pivotal data, if shares hold 130% of the conversion price.
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Net Proceeds and Runway to End-2029
Expected net proceeds are ~$187.5M from the common stock offering, ~$28.2M from the private placement and ~$145.0M from the notes. Combined with existing cash, management says this funds operations through the end of 2029.
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Closing October 30, Private Placement Contingent
The offerings are expected to close on or about October 30, 2026. The stock and notes deals are not contingent on each other, but the private placement requires the common stock offering to close.
Analysis · RAPP · Life Sciences
Rapport is raising roughly $355M gross across three pieces: $175M of common stock at $21.00, $150M of 2.25% convertible notes due 2032 struck at a $26.7750 conversion price, and a $30M private placement at the same $21.00. Because the notes convert 27.5% above the equity price, the debt only becomes stock if the shares climb. The equity and private placement, by contrast, are immediate dilution at a price below today's $21.80 quote. The payoff is runway: management says the combined proceeds plus existing cash fund operations through the end of 2029, well past the FOCUS 1/FOCUS 2 epilepsy readouts and the bipolar mania pivotal trials that the note redemption trigger is tied to. With the stock trading near its 52-week low, this capital was raised into weakness rather than strength.
How filings like this one have moved
In the 30 days to Oct 28, 2026, 36.5% of the 953 measured filings Wiseek scored 8 moved their stock by 5% or more by the next session's close. The median move was -0.66%. These are measured outcomes after filings of this importance, not a forecast for this one.
Measured one observation per ticker per day, after exclusions. Current figures: Filing Impact Tracker · open dataset
At the time of this filing, RAPP was trading at $21.80 on NASDAQ in the Life Sciences sector, with a market capitalization of approximately $1.3B. The 52-week trading range was $23.75 to $52.93. This filing was assessed with negative market sentiment and an importance score of 8 out of 10.