Revolution Medicines announced pricing for public offerings, aiming to raise approximately $1.5 billion from shares and notes.
Quiver AI Summary
Revolution Medicines announced the pricing of its concurrent public offerings, consisting of 10,563,381 shares of common stock at $142.00 per share, aimed at raising approximately $1.5 billion, and $500 million in convertible senior notes due 2033. The stock offering was increased from an originally planned $750 million, and the notes from $250 million. The common stock and notes are set to settle on April 16 and 17, 2026, respectively. Notably, the company has provided underwriters a 30-day option to purchase additional shares. The net proceeds from these offerings will support general corporate purposes, including R&D and potential commercialization efforts related to targeted therapies for RAS-addicted cancers. The press release also details the terms of the notes, their conversion features, and the involvement of multiple financial institutions in managing the offerings.
Potential Positives
- Revolution Medicines successfully priced concurrent public offerings of common stock and convertible senior notes, potentially raising approximately $1.5 billion in gross proceeds, strengthening its financial position.
- The size of the common stock offering was increased significantly from $750 million to $1.5 billion, indicating strong investor demand and confidence in the company's prospects.
- Net proceeds from the offerings are intended for general corporate purposes, including crucial research and development activities, which can accelerate the development of their oncology therapies.
- The convertible notes feature a premium conversion price, providing additional incentives for investors and flexibility for the company in managing its capital structure.
Potential Negatives
- The increase in offering size for common stock from $750 million to $1.5 billion and for notes from $250 million to $500 million may indicate a lack of investor confidence in the company's ability to generate funding through other means.
- The high conversion price of $198.80 per share represents a significant premium over the offering price, which may deter potential investors and reflect poorly on the company's current stock valuation.
- Forward-looking statements highlight potential risks and uncertainties that could negatively impact the company's ability to successfully complete the offerings and apply the proceeds effectively.
FAQ
What is the total amount raised by Revolution Medicines in its offerings?
Revolution Medicines has raised approximately $1.5 billion through its concurrent public offerings.
When are the offerings scheduled to settle?
The common stock offering is scheduled to settle on April 16, 2026, and the note offering on April 17, 2026.
Who are the underwriters for these offerings?
J.P. Morgan, TD Cowen, and Guggenheim Securities are the book-running managers for both offerings.
What will the net proceeds from the offerings be used for?
The proceeds will be used for general corporate purposes, including research and development, and potential commercialization expenses.
What is the initial conversion price for the convertible senior notes?
The initial conversion price for the convertible senior notes is approximately $198.80 per share of common stock.
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 48 times in the past 6 months. Of those trades, 0 have been purchases and 48 have been sales.
Here’s a breakdown of recent trading of $RVMD stock by insiders over the last 6 months:
- MARK A GOLDSMITH (See Remarks) has made 0 purchases and 23 sales selling 220,265 shares for an estimated $16,635,256.
- MARGARET A HORN (Chief Operating Officer) has made 0 purchases and 5 sales selling 84,430 shares for an estimated $8,370,274.
- ANTHONY MANCINI (See Remarks) has made 0 purchases and 5 sales selling 37,450 shares for an estimated $3,578,820.
- JACK ANDERS (Chief Financial Officer) has made 0 purchases and 5 sales selling 31,275 shares for an estimated $2,534,090.
- JEFF CISLINI (General Counsel) has made 0 purchases and 6 sales selling 31,942 shares for an estimated $2,202,346.
- STEPHEN MICHAEL KELSEY (See Remarks) has made 0 purchases and 2 sales selling 9,749 shares for an estimated $846,387.
- LIN WEI (Chief Medical Officer) sold 2,073 shares for an estimated $206,222
- XIAOLIN WANG (See Remarks) sold 2,010 shares for an estimated $199,955
To track insider transactions, check out Quiver Quantitative's insider trading dashboard.
$RVMD Hedge Fund Activity
We have seen 223 institutional investors add shares of $RVMD stock to their portfolio, and 140 decrease their positions in their most recent quarter.
Here are some of the largest recent moves:
- T. ROWE PRICE INVESTMENT MANAGEMENT, INC. removed 3,482,061 shares (-72.8%) from their portfolio in Q4 2025, for an estimated $277,346,158
- WELLINGTON MANAGEMENT GROUP LLP removed 2,825,797 shares (-28.8%) from their portfolio in Q4 2025, for an estimated $225,074,731
- AVORO CAPITAL ADVISORS LLC added 2,170,000 shares (+inf%) to their portfolio in Q4 2025, for an estimated $172,840,500
- JPMORGAN CHASE & CO removed 2,076,700 shares (-83.1%) from their portfolio in Q4 2025, for an estimated $165,409,155
- UBS GROUP AG added 1,998,972 shares (+183.6%) to their portfolio in Q4 2025, for an estimated $159,218,119
- A16Z CAPITAL MANAGEMENT, L.L.C. removed 1,827,424 shares (-66.5%) from their portfolio in Q4 2025, for an estimated $145,554,321
- POLAR CAPITAL HOLDINGS PLC added 1,535,686 shares (+321.2%) to their portfolio in Q4 2025, for an estimated $122,317,389
To track hedge funds' stock portfolios, check out Quiver Quantitative's institutional holdings dashboard.
$RVMD Analyst Ratings
Wall Street analysts have issued reports on $RVMD in the last several months. We have seen 8 firms issue buy ratings on the stock, and 0 firms issue sell ratings.
Here are some recent analyst ratings:
- Guggenheim issued a "Buy" rating on 01/20/2026
- Wolfe Research issued a "Outperform" rating on 11/18/2025
- Wedbush issued a "Outperform" rating on 11/06/2025
- Needham issued a "Buy" rating on 11/06/2025
- HC Wainwright & Co. issued a "Buy" rating on 11/06/2025
- JP Morgan issued a "Overweight" rating on 11/06/2025
- RBC Capital issued a "Outperform" rating on 11/03/2025
To track analyst ratings and price targets for $RVMD, check out Quiver Quantitative's $RVMD forecast page.
$RVMD Price Targets
Multiple analysts have issued price targets for $RVMD recently. We have seen 15 analysts offer price targets for $RVMD in the last 6 months, with a median target of $147.0.
Here are some recent targets:
- Robert Burns from HC Wainwright & Co. set a target price of $169.0 on 04/14/2026
- Robert Driscoll from Wedbush set a target price of $147.0 on 04/14/2026
- Michael Schmidt from Guggenheim set a target price of $175.0 on 04/14/2026
- Cory Kasimov from Evercore ISI Group set a target price of $200.0 on 04/14/2026
- Eva Fortea Verdejo from Wells Fargo set a target price of $167.0 on 04/14/2026
- Leonid Timashev from RBC Capital set a target price of $162.0 on 04/14/2026
- Jay Olson from Oppenheimer set a target price of $165.0 on 04/13/2026
Full Release
REDWOOD CITY, Calif., April 15, 2026 (GLOBE NEWSWIRE) -- Revolution Medicines, a late-stage clinical oncology company developing targeted therapies for patients with RAS-addicted cancers, today announced the pricing of its concurrent public offerings of 10,563,381 shares of common stock, at a public offering price of $142.00 per share, for aggregate gross proceeds of approximately $1.5 billion, and $500.0 million aggregate principal amount of 0.50% convertible senior notes due 2033 (the “notes”). The offering size of the common stock offering was increased from the previously announced offering size of $750.0 million and the offering size of the note offering was increased from the previously announced offering size of $250.0 million. The issuance and sale of the common stock and the notes are scheduled to settle on April 16, 2026 and April 17, 2026, respectively, subject to customary closing conditions. Revolution Medicines also granted the underwriters of the common stock offering a 30-day option to purchase up to an additional 1,584,506 shares of common stock. The completion of the common stock offering will not be contingent on the completion of the note offering, and the completion of the note offering will not be contingent on the completion of the common stock offering.
J.P. Morgan, TD Cowen and Guggenheim Securities are acting as book-running managers for the note offering and the common stock offering. LifeSci Capital is acting as lead manager for the note offering and the common stock offering.
The notes will be senior, unsecured obligations of Revolution Medicines and will accrue interest at a rate of 0.50% per annum, payable semi-annually in arrears on May 1 and November 1 of each year, beginning on November 1, 2026. The notes will mature on May 1, 2033, unless earlier repurchased, redeemed or converted. Before February 1, 2033, noteholders will have the right to convert their notes only upon the occurrence of certain events. From, and including, February 1, 2033, noteholders may convert their notes at any time at their election until the close of business on the second scheduled trading day immediately before the maturity date. Revolution Medicines will settle conversions by paying or delivering, as applicable, cash, shares of its common stock or a combination of cash and shares of its common stock, at Revolution Medicines’ election. The initial conversion rate is 5.0302 shares of common stock per $1,000 principal amount of notes, which represents an initial conversion price of approximately $198.80 per share of common stock. The initial conversion price represents a premium of approximately 40.0% over the public offering price per share of common stock in the common stock offering. The conversion rate and conversion price will be subject to adjustment upon the occurrence of certain events.
The notes will be redeemable, in whole or in part (subject to certain limitations), for cash at Revolution Medicines’ option at any time, and from time to time, on or after May 6, 2030 and on or before the 31st scheduled trading day immediately before the maturity date, but only if the last reported sale price per share of Revolution Medicines’ common stock exceeds 130% of the conversion price for a specified period of time and certain other conditions are satisfied. The redemption price will be equal to the principal amount of the notes to be redeemed, plus accrued and unpaid interest, if any, to, but excluding, the redemption date.
If a “fundamental change” (as defined in the indenture for the notes) occurs, then, subject to a limited exception, noteholders may require Revolution Medicines to repurchase their notes for cash. The repurchase price will be equal to the principal amount of the notes to be repurchased, plus accrued and unpaid interest, if any, to, but excluding, the fundamental change repurchase date.
Revolution Medicines estimates that the net proceeds from the common stock offering will be approximately $1,435.0 million (or approximately $1,650.4 million if the underwriters of the common stock offering fully exercise their option to purchase additional shares of common stock), after deducting the underwriting discounts and commissions and estimated offering expenses. Revolution Medicines estimates that the net proceeds from the note offering will be approximately $486.8 million, after deducting the underwriting discounts and commissions and estimated offering expenses. Revolution Medicines intends to use the net proceeds from the offerings for general corporate purposes, including research and development expenses, expenses relating to the potential commercialization of one or more of its product candidates, general and administrative expenses and capital expenditures.
The offerings are being made pursuant to an effective shelf registration statement on file with the Securities and Exchange Commission (the “SEC”). Each offering will be made only by means of a prospectus supplement relating to that offering and an accompanying prospectus. An electronic copy of the preliminary prospectus supplement (and, when available, the final prospectus supplement) for each offering, together with the accompanying prospectus, is or will be available on the SEC’s website at www.sec.gov . Alternatively, copies of these documents can be obtained by contacting: J.P. Morgan Securities LLC, c/o Broadridge Financial Solutions, 1155 Long Island Avenue, Edgewood, NY 11717 or by email at [email protected] and [email protected]; TD Securities (USA) LLC, c/o Broadridge Financial Solutions, 1155 Long Island Avenue, Edgewood, NY 11717, or by email at [email protected]; and Guggenheim Securities, LLC, Attention: Equity Syndicate Department, 330 Madison Avenue, 8th Floor, New York, NY 10017, by telephone at (212) 518-9544, or by email at [email protected].
This press release does not constitute an offer to sell, or the solicitation of an offer to buy, any securities referred to in this press release, nor will there be any sale of any such securities, in any state or other jurisdiction in which such offer, sale or solicitation would be unlawful prior to registration or qualification under the securities laws of such state or jurisdiction.
About Revolution Medicines, Inc.
Revolution Medicines is a late-stage clinical oncology company developing novel targeted therapies for patients with 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 daraxonrasib (RMC-6236), a RAS(ON) multi-selective inhibitor; elironrasib (RMC-6291), a RAS(ON) G12C-selective inhibitor; zoldonrasib (RMC-9805), a RAS(ON) G12D-selective inhibitor; and RMC-5127, a RAS(ON) G12V-selective inhibitor, are currently in clinical development. Additional development opportunities in the company’s pipeline focus on RAS(ON) mutant-selective inhibitors, including RMC-0708 (Q61H) and RMC-8839 (G13C).
Forward-Looking Statements
This press release includes forward-looking statements, including statements regarding the completion of the offerings and the expected amount and intended use of the net proceeds from the offerings. Forward-looking statements represent Revolution Medicines’ current expectations regarding future events and are subject to known and unknown risks and uncertainties that could cause actual results to differ materially from those implied by the forward-looking statements. Among those risks and uncertainties are market conditions, the satisfaction of the closing conditions related to the offerings, risks described under the caption “Risk Factors” in the preliminary prospectus supplements (and, when available, the final prospectus supplements) for the offerings and risks relating to Revolution Medicines’ business, including those described in periodic reports that Revolution Medicines files from time to time with the SEC. Revolution Medicines may not consummate the offerings described in this press release and, if the offerings are consummated, cannot provide any assurances regarding its ability to effectively apply the net proceeds as described above. The forward-looking statements included in this press release speak only as of the date of this press release, and Revolution Medicines does not undertake to update the statements included in this press release for subsequent developments, except as may be required by law.
Revolution Medicines Media & Investor Contact
:
[email protected]
[email protected]