Rani Therapeutics Holdings (RANI), a clinical-stage penny biotech stock, soared nearly 250% on Friday and continued to trade higher in pre-market trading on Monday following last week’s sharp rally. The rally came after the company announced a $1.08 billion license deal with Chugai Pharmaceutical, a Roche subsidiary, along with an oversubscribed $60.3 million private placement expected to fund operations into 2028.
Elevate Your Investing Strategy:
- Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence.
Chugai Deal Sparks Huge Optimism
Rani said the new deal will develop an oral version of a rare disease therapy, combining its RaniPill capsule with Chugai’s antibody drug. The goal is to turn injectable biologics into oral treatments, a major step for both patients and drug developers.
If all milestones are met, the deal could be worth over $1 billion, including upfront payments, development bonuses, and future royalties. For investors, this deal signals strong interest from a major pharma partner and confirms Rani’s growing credibility in the biotech space.
Investors are now watching for updates on the Chugai partnership and progress in Rani’s own drug pipeline.
Rani Raises $60 Million to Strengthen Cash Position
Alongside the partnership, Rani announced an oversubscribed $60.3 million private placement backed by leading investors.
The new capital will extend the company’s cash runway into 2028, allowing it to speed up development across its drug pipeline. The new funding also improves Rani’s cash position, reducing near-term financial pressure.
Is Rani Therapeutics Stock a Buy, Sell, or Hold?
Turning to Wall Street, analyst coverage of Rani Therapeutics is lacking. Fortunately, TipRanks’ AI analyst Spark has it covered. Spark rates RANI stock as an Underperform (32) with no price target. The analyst cites “significant financial struggles with no revenue and consistent net losses” as reasons for this stance.
