Electra Therapeutics (ETRA) OrbiMed Advisors Buys Shares, Converts Preferred

What Happened

• OrbiMed Advisors LLC (reported as a 10% owner, filing jointly with related OrbiMed entities) participated in Electra Therapeutics' (ETRA) IPO on Sept 21, 2026. The firm converted a total of 5,551,837 shares of previously held preferred stock into common stock (automatic conversion on the IPO) and purchased 1,333,333 common shares in the offering at $15.00 per share for a total cash outlay of $19,999,995 (about $20.0M). The conversion of the preferreds is recorded as a disposition of derivative securities at $0 and an acquisition of common stock.

Key Details

• Transaction date: 2026-09-21; Form 4 filed 2026-09-23 (appears timely)
• Purchases: 333,333 shares @ $15.00 ($4,999,995) and 1,000,000 shares @ $15.00 ($15,000,000) — total cash purchase ≈ $19,999,995
• Conversions: 2,002,310; 1,087,934; 1,703,314; and 758,279 preferred shares converted into common = 5,551,837 shares
• Total new common acquired on 9/21: 6,885,170 shares (5,551,837 conversions + 1,333,333 IPO purchases)
• Shares owned after transaction: Not provided in the supplied excerpt
• Footnotes: F1 — Preferred stock automatically converted into common at IPO with no additional consideration; F2 — purchased shares were from the issuer's IPO; F3–F5 — securities held via OrbiMed funds (OPI VII and OrbiMed Genesis) and reported jointly; individuals on OrbiMed's management committee disclaim direct beneficial ownership
• Filing timeliness: Filed two days after the transactions; no late-filing flag shown in the excerpt

Context

• The conversion entries are not sales — they reflect automatic conversion of preferred securities into common stock upon the IPO (no cash paid). The only cash purchases were the IPO share purchases at $15.00 each. Because OrbiMed is an institutional/10% owner acting through its funds and related entities, these moves reflect institutional participation in the IPO rather than an individual executive trade.