Week of August 21, 2026

The Week at a Glance:

• Biotech indices outperform broader markets: The NBI rose 7.1% while major indices declined, suggesting a potential capital rotation out of tech and AI stocks and into biotech and healthcare

• Moderna stock rockets: Moderna added ~$32B in market cap last week after Phase 3 melanoma data showed superiority to Keytruda alone, though the magnitude of the move may overstate broader applicability to other tumor types given melanoma’s high immunogenicity and mutational burden, which favors Moderna’s mRNA neoantigen therapy

• Reverse mergers remain active despite an open IPO window: Werewolf Therapeutics and Fulcrum Therapeutics announced reverse mergers with Ambros Therapeutics and Slate Therapeutics, respectively, alongside concurrent $150M and $245M PIPEs, highlighting the continued use of reverse mergers to quickly access the public markets amid a favorable capital markets environment

   

Markets Overview

The S&P 500, Nasdaq, and Dow were down 1.4%, 2.1%, and 0.8%, respectively, over the last week

• Following a strong earnings season, upward pressure on long term Treasury yields weighed on investor sentiment, sending equities lower on the week

The NYSE Pharma Index and NBI were up 5.8% and 7.1%, respectively, over the last week

Notable change in share price included:

• Moderna (NASDAQ: MRNA): Shares jumped 123.8% on the week after the Company reported positive Phase 3 results from their mRNA neoantigen therapy for completely resected stage IIB-IV melanoma that demonstrated superiority to Keytruda

• Merck (NYSE: MRK): Shares jumped 12.2% on the week following Moderna’s data as Merck has a 50/50 profit share for Moderna’s melanoma asset

• Werewolf Therapeutics (NASDAQ: HOWL): Shares jumped 112.5% after the Company announced its reverse merger transaction with Ambros Therapeutics, a Phase 3 rare disease company focused on complex regional pain syndrome type 1, and a $150M concurrent PIPE

• Amylyx Pharmaceuticals (NASDAQ: AMLX): Shares rose 76.7% after the Company reported positive Phase 3 results in post-bariatric hypoglycemia

Sources: Pitchbook, Biomedtracker, and CapIQ

Equity Markets

IPO

Last week, no IPOs priced and there were no S-1s filed

IPOs priced in 2025 and 2026 have generated a median and average return of 19.3% and 38.0% YTD, respectively

After-Market Performance by Stage:

• Clinical-stage after-market performance: 47.3% (average), 19.3% (median)

• Commercial-stage after-market performance: 28.6% (average), 19.3% (median)

After-Market Performance by Sector:

• Biopharma: 47.3% (average), 19.3% (median)

• MedTech: 24.3% (average), 17.0% (median)

Follow On

There was one follow-on offering totaling approximately $505.2M this week:

• Amylyx Pharmaceuticals (NASDAQ: AMLX) priced an upsized $500.2M underwritten public offering, with gross proceeds of up to ~$575.2M if the underwriters’ option is exercised in full, to fund pre-commercial activities for avexitide, including additional manufacturing capacity, research and development, and working capital and general corporate purposes

PIPE/RDO

Both of last week’s larger PIPEs supported reverse merger transactions, highlighting continued use of alternative paths to public listings despite a healthy capital markets environment

There were five PIPEs / RDOs announced last week, representing aggregate proceeds of $329M

• Fulcrum Therapeutics (NASDAQ: FULC) raised $245M in a PIPE concurrent with its merger with Slate Medicines to support continued development of its migraine pipeline, including advancing lead program SLTE-1009 through a Phase 1 healthy volunteer study and Phase 2 dose-ranging study in migraine patients, and fund operations into 2029

• Werewolf Therapeutics (NASDAQ: HOWL) raised $150M in a PIPE concurrent with its merger with Ambros Therapeutics to fund the pivotal Phase 3 CRPS-RISE trial of neridronate in CRPS-1, NDA submission and commercial preparations, and extend cash runway into 1H 2029

Licensing

Last week's platform licensing activity reinforces heightened BD interest in enabling technologies, with the BioArctic–Mesenkia and Lilly–OmniAb collaborations extending the recent platform-focused activity highlighted by J&J–Sail’s in vivo CAR-T deal last week

M&A

Venture Financing