Rhythm Pharma dips after boosted $175 mln equity raise

Rhythm Pharmaceuticals

10/07/2025 12:42

** Shares of Rhythm Pharmaceuticals RYTM.O off 1.3% on light premarket volume to $87.90 after follow-on prices

    ** Boston, Massachusetts-based firm early Thurs announces ~2.1 mln shares at $85 for $175 mln gross proceeds

      ** Offering size increased from $150 mln, prices at 4.5% discount to stock's last close

        ** RYTM shares on Weds surged nearly 37% to $89, a record high close, after its drug bivamelagon showed promise in mid-stage study for a rare type of obesity

    ** Morgan Stanley, BofA, Stifel and Wells Fargo are jt bookrunners for the offering

    ** Co has ~63.6 mln shares outstanding, giving it ~$5.7 bln current market cap

    ** Through Weds, shares up 59% YTD

    ** Separately, analysts at Morgan Stanley, BofA and Wells Fargo hiked their respective PTs, with Wells the most bullish among the three going from $91 to $129

    ** All 13 analysts covering RYTM rate stock "strong buy" or "buy" and median PT is $96, latest LSEG data reflects

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

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