RA Capital Management Acquires 9.9% Stake in Avalo Therapeutics, Inc. (AVTX)

RA Capital Management, L.P., along with Peter Kolchinsky, Rajeev Shah, and RA Capital Healthcare Fund, L.P., filed a Schedule 13G/A on May 15, 2026, regarding their holdings in Avalo Therapeutics, Inc. (AVTX). The reporting persons disclosed beneficial ownership of 2,455,655 shares of common stock, representing a 9.9% ownership stake as of March 31, 2026. This position includes 662,968 shares of common stock held directly by the Fund and Series C preferred stock convertible into additional shares. However, the conversion of the preferred stock is subject to a Beneficial Ownership Blocker, which prevents the reporting persons from owning more than 9.99% of the outstanding common stock. RA Capital serves as the investment adviser for the Fund and shares voting and dispositive power over the securities. The filing represents an increase from a previously reported 0% position, though the reporting persons disclaim status as a group and disclaim beneficial ownership except for Section 13(d) purposes. The filing confirms the shares were not acquired for the purpose of changing or influencing control of the issuer.