Revance Therapeutics Inc (RVNC)

[jmkobers]

Raise musings:

Trying to make sense of this being done with 52 week lows clearly in sight. When they released their safety data December 4th, you speculated that the next raise would likely be after they filed in 1H19 and for a price considerably higher than the 24.91 it closed at that day, (up 19% on 1.7 million shares on a horrible day in the markets in which the Dow was down > 700 points).

As a shareholder, it's hard to interpret this action positively.The company evidently felt there was a good chance the price would be significantly lower than it is today when they had to raise in the coming months. How much lower could it possibly go? Odds had to favor a higher price than what it has been struggling at lately.

Why was a 1H19 raise a foregone conclusion at all? After the strong safety data as well as the lucrative FoSun agreement, I honestly believed RVNC was severely under-valued, and that a therapeutic partnership or European aesthetic partnership would happen and make a raise unnecessary. The best in class rating should give them a competitive edge and partnerships should follow relatively quickly, and for significantly higher upfront payments than FoSun. Why do you think no partnerships prior to raise? Could it have been their preference? Am I too bullish on their data and resulting prospects?

Also, does this mean the US aesthetic partner door for 2020 launch has now officially been closed? Seems logical to me, if not, why the need to do it now?