Form 4: ADAR1 Capital Management Increases Stake in Keros Therapeutics Through Open Market Purchases and Swap Adjustments

ADAR1 Capital Management and related entities increase their holdings in Keros Therapeutics through a series of open market purchases and adjustments to cash-settled total return swaps.

Summary

• On April 9, 2025, ADAR1 Capital Management and related entities engaged in multiple transactions involving Keros Therapeutics, Inc. (KROS) common stock.
• These transactions included open market purchases of common stock at weighted average prices ranging from $9.13 to $10.60.
• ADAR1 Partners, LP purchased 18,560 shares at a weighted average price of $9.3952, 16,365 shares at a weighted average price of $9.3952, 325,000 shares at a weighted average price of $9.857, 500,000 shares at a weighted average price of $10.33, and 74,333 shares at a weighted average price of $10.33.
• Concurrently, ADAR1 Partners, LP reduced the number of notional shares of Common Stock of the Issuer in the applicable basket by a corresponding number of 325,000 shares, 500,000 shares and 74,333 shares through cash-settled total equity swaps.
• Following these transactions, ADAR1 Partners, LP beneficially owns 4,392,737 shares, Spearhead Insurance Solutions IDF, LLC beneficially owns 743,558 shares, and ADAR1 SPV I, LP beneficially owns 254,669 shares.
• The reported transactions reflect changes in beneficial ownership by ADAR1 Capital Management, LLC, ADAR1 Partners, LP, ADAR1 Capital Management GP, LLC, and Daniel Schneeberger, all of whom may be deemed to indirectly beneficially own the securities.
• Each reporting person disclaims beneficial ownership of these securities except to the extent of their pecuniary interest.

Sentiment

Score: 7

Explanation: The sentiment is neutral to slightly positive. The increased investment by ADAR1 suggests confidence, but the filing itself is a routine disclosure.

Positives

• Increased investment by ADAR1 Capital Management suggests confidence in Keros Therapeutics' future prospects.

Industry Context

Form 4 filings are standard disclosures for significant shareholders, providing transparency into their trading activities. This filing indicates increased investment by ADAR1 Capital Management in Keros Therapeutics.

Comparison to Industry Standards

• Form 4 filings are a standard practice for reporting changes in beneficial ownership as per SEC regulations, ensuring transparency in the market.
• Similar filings are made by institutional investors in comparable biotech companies like BioMarin Pharmaceutical Inc. and Sarepta Therapeutics, Inc., reflecting their investment activities.

Stakeholder Impact

• The increased investment could positively influence shareholder confidence in Keros Therapeutics.
• Employees may perceive the increased investment as a sign of stability and growth potential.

Key Dates

Keywords

Keros Therapeutics, ADAR1 Capital Management, Beneficial Ownership, Open Market Purchases, Cash-Settled Total Return Swaps, KROS, Investment, Shares