ORIC Pharmaceuticals Files Prospectus Supplement for Up to \$200 Million “At-the-Market” Equity Offering
Key Highlights:
- ORIC Pharmaceuticals, Inc. (NASDAQ: ORIC) has filed a new prospectus supplement with the U.S. Securities and Exchange Commission (SEC) on February 26, 2026, enabling the company to offer and sell up to \$200 million of its common stock through an “at-the-market” (ATM) equity offering program.
- The ATM program will be conducted under an Open Market Sale AgreementSM with Jefferies LLC, who will act as the sales agent. The shares will be offered pursuant to the company’s effective shelf registration statement on Form S-3ASR (File No. 333-277829), originally filed and automatically effective as of March 11, 2024.
- This new 2026 Prospectus Supplement replaces the previous 2024 Prospectus Supplement, under which ORIC had already sold 13,478,432 shares for gross proceeds of approximately \$139.7 million (before commissions and expenses). No further sales will be made under the 2024 supplement.
- The legal opinion regarding the validity of the shares, provided by Wilson Sonsini Goodrich & Rosati, P.C., was filed as an exhibit to the current report.
Details Investors Should Know
- Size & Structure of the Offering: The new ATM equity program allows ORIC to raise up to \$200 million in additional capital by selling shares into the open market at prevailing prices, providing ongoing funding flexibility.
- Sales Agent: Jefferies LLC will continue to act as the company’s sales agent for the offering, responsible for executing sales of the shares.
- Use of Shelf Registration: The shares are being offered under an automatically effective shelf registration statement, which expedites the capital raising process and ensures compliance with SEC regulations.
- Transition from 2024 to 2026 Supplement: The company previously raised \$139.7 million under the 2024 supplement and is now transitioning to the 2026 supplement for continued fundraising under the same Sales Agreement terms.
- Legal and Compliance: The Wilson Sonsini Goodrich & Rosati opinion confirms the shares to be offered are duly authorized, validly issued, fully paid, and nonassessable under Delaware law.
Potentially Price-Sensitive Information for Shareholders
- Shareholder Dilution: The ATM program could result in significant dilution, as up to \$200 million of new shares may be issued into the open market. This is in addition to the 13.5 million shares (~\$139.7 million) already issued under the prior program.
- Impact on Share Price: Large or sustained ATM sales can place downward pressure on the share price, as additional supply enters the market and existing ownership stakes are diluted.
- Capital Raising Flexibility: On the positive side, the ability to raise capital quickly through the ATM program may allow ORIC to fund its ongoing operations, research, and development activities, potentially strengthening the company’s balance sheet and supporting its pipeline progress.
- No Specific Use of Proceeds Disclosed: The filing does not specify the intended use of proceeds from the ATM program, leaving open the possibility of capital being used for a range of corporate purposes, including R&D, clinical trials, business development, or general working capital.
Summary Table of Key Terms
| Offering Size |
Up to \$200,000,000 (common stock) |
| Sales Agent |
Jefferies LLC |
| Registration Statement |
Form S-3ASR (File No. 333-277829), effective March 11, 2024 |
| Current Prospectus Supplement |
Filed February 26, 2026 |
| Previous ATM Proceeds (2024) |
~\$139.7 million (13,478,432 shares sold) |
| Exchange |
NASDAQ Global Select Market (Symbol: ORIC) |
What Should Investors Watch?
- The pace and volume of new share sales under the ATM program, as this could influence market supply and the company’s cash position.
- Any subsequent disclosures regarding the specific use of proceeds, pipeline updates, or strategic initiatives funded by this capital raise.
- Potential volatility in ORIC’s share price as the market digests the impact of the ATM program and the company’s evolving capital needs.
Disclaimer: This article is for informational purposes only and does not constitute investment advice. Investors should review official filings and consult with their financial advisor before making investment decisions. The author is not responsible for any actions taken based on this information.
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