Arcus Biosciences Inc. ( RCUS ) shares traded lower Tuesday after the company announced a $150 million common stock offering.

What To Know: The financing is expected to support ongoing trials, including PEAK-1, a Phase 3 study for its HIF-2a inhibitor casdatifan in clear cell renal cell carcinoma (ccRCC). The stock offering will involve institutional healthcare investors and Gilead Sciences. Gilead's option to acquire rights to casdatifan expired, leaving Arcus with full control over the drug's development.

At the ASCO GU Cancers Symposium, new ARC-20 trial data showed casdatifan improved progression-free survival and overall response rates for ccRCC patients who had failed at least two prior treatments. Arcus intends to initiate multiple trials to position casdatifan as a key HIF-2a inhibitor.

Further data readouts are expected throughout 2025 and 2026, with studies planned for both monotherapy and combination treatments. Arcus will collaborate with AstraZeneca on a trial for IO-naive patients.

RCUS Price Action: Arcus shares closed 16.3% lower at $10.96 on Tuesday, according to Benzinga Pro.

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