Steve Cohen's Point72 Buys $20M of Surging Biotech Stock That Recently Priced $125M Offering to Advance Myeloma Treatment

New York Mets owner and billionaire investor Steven Cohen is known for a high-risk/reward investing approach. He founded the now-defunct SAC Capital Advisors, which was among the most successful hedge funds. He later founded Point72 Asset Management.

Cohen, who has a net worth of $23 billion (£17.2 billion), steered his Point72 Asset Management hedge fund to massive profits in the past three years, significantly outperforming the S&P 500 index.

His hedge fund's top 20 holdings have gained 131% cumulatively in the past three years, compared to the 64% gains for the S&P 500. Point72 also recorded an impressive 18% return in Q2 2025.

According to filings with the US Securities and Exchange Commission, Point 72 purchased 8.48 million shares of C4 Therapeutics (Nasdaq:CCCC) on 17th October, worth $20 million (£14.9 million) at an average buying price of $2.37 (£1.77) per share. The hedge fund's investment comes a day after C4 Therapeutics priced a $125 million (£93 million) offering of common shares and pre-funded warrants. The biotech stock has surged over 100% in the past six months.

The proceeds from the offering led by RA Capital Management will be used, along with cash and cash equivalents, to fund the company's research and development activities, including planned clinical trials of cemsidomide to treat myeloma, a cancer of the plasma cells in the bone marrow.

A few weeks before Point72's investment, C4 Therapeutics announced it entered a clinical trial agreement with Pfizer (NYSE:PFE), under which Pfizer will supply elranatamab to C4 Therapeutics for its upcoming phase 1b trial of cemsidomide.

'We look forward to initiating this trial to evaluate cemsidomide in combination with elranatamab in the hopes we can develop a new treatment regimen and potentially improve outcomes for multiple myeloma patients in earlier lines of therapy,' said Andrew Hirsch, chief executive officer of C4 Therapeutics had stated in a press release.

In September, the company's phase 1 results of cemsidomide in combination with dexamethasone showed that it achieved a 50% overall response rate at the highest dose level. The data indicated the drug candidate's differentiated safety and tolerability profile as well as potential anti-myeloma activity.

'Cemsidomide's clinical trial results to date have shown compelling anti-myeloma activity, a differentiated safety and tolerability profile and immunomodulatory effects across all dose levels, which have allowed us to create a derisked development plan that we are prepared to rapidly execute to potentially bring cemsidomide to patients, caregivers and hematologist-oncologists,' chief medical officer of the company, Len Reyno, had said.

Cohen has been heavily investing in biotech stocks since July of this year. Some of Point72's biotech picks are Palisade Bio (Nasdaq:PALI), Dianthus Therapeutics (Nasdaq: DNTH), Kala Bio (Nasdaq: KALA), and Amylyx Pharmaceuticals (NASDAQ:AMLX). His total investments in biotech stocks in recent months are over $120 million (£89.7 million). Both Palisade and Amylyx stocks are up over 150% in the past six months, while the Dianthus stock surged over 84% in the same period.

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