Cathie Wood's ARK Genomic Revolution ETF buys newly public biotech Scribe
On its first day of trading on the Nasdaq, the stock soared 44%
A Cathie Wood ETF has invested in Scribe, a clinical-stage developer of gene therapies for heart diseases / Photo: LinkedIn / Catherinedwood
Cathie Wood’s ARK Genomic Revolution ETF has bought shares in Scribe Therapeutics, a biotech developing CRISPR-based genetic medicines for cardiovascular disease. The company, cofounded by Nobel laureate Jennifer Doudna and backed by pharmaceutical giants Eli Lilly and Sanofi, went public on the Nasdaq on Friday. Its shares jumped more than 44% on their first day of trading.
Details
The ARK Genomic Revolution ETF bought shares in Scribe Therapeutics on Friday, writes Investing.com. This comes after the company went public on the Nasdaq that same day, selling 8.58 million shares – 20% more than initially planned – at $15 apiece, the top of its marketed range.
According to the fund’s data, ARK Genomic now owns 361,250 Scribe shares worth $7.8 million. This suggests that the fund may have acquired the shares at an average price of $21.65 per share, 44% above the IPO price. That is roughly in line with the current market price, as Scribe shares closed at $21.70 per share on Friday.
About Scribe
Scribe, whose cofounders include Nobel laureate Doudna, is exploring gene-editing tech for treating cardiovascular and metabolic diseases, with an initial focus on atherosclerotic cardiovascular disease. While most genetic-medicine developers focus on rare diseases, the biotech is targeting common conditions that affect millions of people, according to the company’s site.
Its lead candidate, STX-1150, is designed to silence the PCSK9 gene and produce durable reductions in LDL, or “bad,” cholesterol without permanently altering a patient’s DNA. The drug is in an early-stage clinical trial, with initial data expected in the first half of 2027, as Bloomberg reports.
Scribe’s investors include pharmaceutical giant Eli Lilly, entities affiliated with venture capital outfit Andreessen Horowitz, and Avoro Life Sciences Fund. Another pharma giant, France’s Sanofi, which already has a collaboration agreement with the biotech worth up to $1.5 billion, planned to purchase $7.5 million of Scribe stock through two subsidiaries in a concurrent private placement, according to the company’s IPO prospectus.
Scribe boasts a top-tier founding team and strong backing from major investors, but it faces substantial clinical and regulatory risks, IPO Edge analyst Donovan Jones opined on Seeking Alpha.
------------------------------------
Check out Oninvest's Guru Portfolios section, where you can find the latest information on the composition and performance of the portfolios of the world’s top investors and biggest funds based on their 13F quarterly filings.
