OrbiMed Advisors LLC purchases $10 million in Edgewise Therapeutics stock

In a recent transaction, OrbiMed Advisors LLC, a notable investment firm, acquired a substantial amount of common stock from Edgewise Therapeutics , Inc. (NASDAQ:EWTX). The purchase, executed on April 3, 2025, involved a total of 496,771 shares at a price of $20.13 per share, amounting to approximately $10 million. According to InvestingPro data, this investment comes as EWTX trades near its 52-week low of $11.50, having declined over 50% in the past week alone.

The acquisition was made through two separate transactions. The first involved 372,578 shares, while the second comprised 124,193 shares, both at the same price per share. These purchases were made in an underwritten public offering, as noted in the filing. The company maintains strong financial health with a current ratio of 19.93, indicating robust liquidity, and holds more cash than debt on its balance sheet.

Following these transactions, OrbiMed Advisors LLC, along with its affiliated entities, holds a significant position in Edgewise Therapeutics, underscoring its confidence in the company’s potential. The shares are held indirectly through OrbiMed Private Investments VI, LP and OrbiMed Genesis Master Fund, L.P., with OrbiMed Advisors having voting and investment power over these securities.

The filing also highlights that OrbiMed Advisors exercises this power through a management committee, which includes Carl L. Gordon, Sven H. Borho, and W. Carter Neild. Each member disclaims beneficial ownership of the securities, except to the extent of any pecuniary interest.

In other recent news, Edgewise Therapeutics has been in the spotlight following the release of their Phase 2 trial results for EDG-7500 in hypertrophic cardiomyopathy (HCM). The trial showed promising efficacy, with meaningful reductions in left ventricular outflow tract gradient and improvements in patient-reported outcomes. However, the occurrence of atrial fibrillation in two participants raised safety concerns among investors. RBC Capital Markets responded by adjusting its price target for Edgewise Therapeutics to $52, down from $56, while maintaining an Outperform rating. Truist Securities also maintained a Buy rating with a $50 target, emphasizing the drug’s potential despite the atrial fibrillation concerns. Additionally, Edgewise announced a $200 million stock offering aimed at funding future research and development projects, including the potential U.S. launch of sevasemten for Becker muscular dystrophy. Meanwhile, Morgan Stanley (NYSE:MS) highlighted the implications of Edgewise’s results for Cytokinetics (NASDAQ:CYTK), noting the safety profile of Cytokinetics’ aficamten in comparison. The developments have prompted varied reactions from analysts, with some viewing the current situation as an opportunity for investment in Edgewise Therapeutics.

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