Arrowhead Pharma rises after upsized $825 mln raise

Arrowhead Pharmaceuticals

08/01/2026 15:04

** Arrowhead Pharmaceuticals ARWR.O shares up 3.2% early Thurs to $67.77 after co raises more capital than planned

    ** Biotech firm late Weds announced pricing offering of $625 mln 0% 6-year convertible bonds (CBs)

      ** It also sold 3.1 mln shares, including ~1.6 mln pre-funded warrants, at $64.50 for $200 mln gross proceeds

      ** ARWR shares on Weds fell 7.2% to close at $65.69 after co late Tues unveiled public offerings of $500 mln CBs and $200 mln in stock

      ** Initial conversion price on the CBs set at $87.07, 35% above the offering price of the stock deal

      **
    Co intends to use bulk of the net proceeds from offerings for general purposes, including working capital, capex, R&D, commercialization activities for potential launches of late stage products, and may use a portion to prepay loans under credit facility with Sixth Street Lending Partners

** JP Morgan and Jefferies acting as joint bookrunners

** ARWR shares on Tues rose 11% after promising early-stage data for its obesity treatments, including for ARO-INHBE in combination with Eli Lilly's LLY.N tirzepatide

** Through Weds close, ARWR stock up about 260% over the past six months

** Avg rating among 13 analysts is "buy"; median PT $80, per LSEG

(Lance Tupper is a Reuters market analyst. The views expressed are his own)

((lance.tupper@tr.com 1-646-279-6380))