Recent Updates — RXRX

Recursion Pharmaceuticals priced a $200 million follow-on underwritten offering of 61,540,000 shares of Class A common stock at $3.25 per share, with closing expected on October 16, 2026. Concurrently, the company announced that Sanofi has optioned a potential first-in-class oral small molecule development candidate from their multi-program research collaboration. The option triggered a $10 million milestone payment to Recursion, bringing total upfront and milestone payments under the collaboration to $144 million to date. Recursion remains eligible for more than $300 million in additional milestones and low double-digit royalties if the program is commercialized. The company also reported preliminary cash and cash equivalents of approximately $561 million as of September 30, 2026, and expects its cash runway to extend into 2029 following the offering. Recursion Pharmaceuticals operates in the biotechnology sector, pioneering AI-enabled drug discovery and development.

Recursion Pharmaceuticals entered into an amendment to its Master Agreement with Tempus AI, extending the term from five to six years and eliminating Recursion's right to terminate for convenience. The amendment revised Annual License Fees to $14 million payable on each of the third, fourth, and fifth anniversaries, requiring at least $4 million in cash per payment. Simultaneously, Recursion granted Tempus a non-exclusive license to its TxFM Model for oncology applications in exchange for a $12 million fee paid in two installments of $6 million. Recursion Pharmaceuticals operates in the biotechnology industry, utilizing AI and robotics to discover new medicines.

Recursion Pharmaceuticals reported second quarter 2026 financial results showing total revenue of $7.7 million and a net loss of $131.0 million. The company reduced its full-year 2026 cash operating expense guidance to less than $375 million from $390 million, citing operational efficiencies. Genentech exercised the first Validated Target Option under its neuroscience collaboration with Recursion, advancing a previously unexplored target into an early discovery program. The company also announced that its IND for REC-7735, a PI3Kα H1047R inhibitor, was cleared, with Phase 1/2 trials expected to start in the second half of 2026. Recursion operates as a clinical-stage TechBio company using an AI-native platform to discover and develop therapeutic medicines.