Recursion Raises $200M in Oversubscribed Offering, Posts Strong FAP and Cancer Data, Sanofi Milestone
RXRX sits 26% above its 52-week low of $2.77.
Summary
Recursion priced a $200M oversubscribed common stock offering with backing from Janus Henderson, ARK Invest, Invus, and other healthcare specialists — roughly 10% dilution against a ~$2B market cap, but the demand signals institutional conviction. The capital raise comes alongside updated Phase 1b/2 data for REC-4881 in FAP showing 87% of patients had total polyp burden reductions (47% median) and 92% had upper GI reductions, with a favorable safety profile supporting chronic dosing. Early Phase 1 DAHLIA data for REC-1245 showed three partial responses in heavily pretreated endometrial and liver cancer patients, and the 45 mg QD dose was selected for expansion. Sanofi optioned the first immunology development candidate from their collaboration, triggering a $10M milestone and bringing total payments to $144M, with over $300M in additional milestones possible. Cash stands at $561M as of September 30, with runway now extended into 2029 including offering proceeds. The offering follows the existing $300M ATM program filed in February, but this is a fresh underwritten raise with named institutional buyers rather than an ATM draw. Watch for the CGA-IGC Annual Meeting on November 2 for additional REC-4881 data and further FDA discussions on the registrational trial path expected later this year.
At the time of this announcement, RXRX was trading at $3.48 on NASDAQ in the Life Sciences sector, with a market capitalization of approximately $2B. The 52-week trading range was $2.77 to $7.18. This news item was assessed with positive market sentiment and an importance score of 8 out of 10. Source: GlobeNewswire.