ADAR1 Capital Management, LLC, Keros Therapeutics' largest stockholder with approximately 13.3% of outstanding shares, issued an open letter to stockholders on May 8, 2025. The letter outlined concerns regarding the company's capital allocation decisions, strategic direction, and prolonged underperformance.
ADAR1 detailed what it described as 'alarming clinical results' for two of Keros' drug candidates, KER-012 and KER-065, and expressed serious concern that continued investment in these programs risks further shareholder value destruction. The activist investor called for Keros to restructure its business, significantly reduce headcount, and return excess capital to stockholders.
Given its stated loss of confidence in the company's management and Board of Directors, ADAR1 announced its intention to 'WITHHOLD' votes on the re-election of Dr. Mary Ann Gray and Dr. Alpna Seth at Keros' upcoming Annual Meeting of Stockholders, scheduled for June 4, 2025.
The content on BeyondSPX is for informational purposes only and should not be construed as financial or investment advice. We are not financial advisors. Consult with a qualified professional before making any investment decisions. Any actions you take based on information from this site are solely at your own risk.