Relay’s Gamble: A $110M Vote of Confidence (or Desperation?)

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Right. So, Casdin Capital just dropped another $11.86 million into Relay Therapeutics. That’s 1,662,193 shares, if you’re counting. Honestly, it’s the kind of move that makes you wonder if they’re genuinely optimistic, or just really, really good at doubling down on bad decisions. I mean, we’ve all been there, haven’t we? Except usually it’s with shoes, not multi-million dollar biotech investments.

Let’s Talk Numbers (Ugh)

As of February 17th, 2026 – because dates matter, apparently – Casdin’s total stake in Relay now sits at 13,003,574 shares. That’s a significant chunk, bringing it to 6.83% of their reportable AUM. Which means if Relay tanks, they’re the ones feeling it most. No pressure, Casdin. The whole thing added $50.81 million to their portfolio, which is nice. Although, let’s be real, gains like that don’t usually last.

The Usual Suspects

Just for context, Casdin’s top holdings are looking like this: WGS ($391.11M), RVMD ($205.28M), BLFS ($144.04M), LAB ($113.64M), and now, Relay at $110.01M. It’s a pretty solid line-up of things I wouldn’t begin to understand. And honestly, I suspect most people reading this don’t either. But hey, money is fun, right?

A Year to Remember (Or Forget)

RLAY shares are currently trading at $10.95, up a rather astonishing 235% over the past year. Which, in the world of biotech, is basically a miracle. The S&P 500 managed a measly 15% in the same period. So, yeah, Relay’s been doing something right. Or, you know, just getting lucky. It’s a fine line.

Relay: The Cliff Notes Version

Relay Therapeutics is a clinical-stage biotech firm, which basically means they’re trying to figure out how to fix really complicated diseases with really complicated science. They specialize in precision medicine – small molecule therapeutics for oncology and genetic diseases. They’re working on candidates like RLY-4008, RLY-2608, and RLY-1971. It’s all very impressive. And terrifying. They make money through partnerships with companies like D.E. Shaw Research and Genentech. Which sounds…stable. Relatively speaking.

So, What Does This All Mean?

Okay, let’s be honest. Momentum in biotech is fleeting. But Casdin adding to their position after such a massive run-up? That’s…interesting. It suggests they believe the upcoming clinical data – Phase 1 for PIK3CA vascular anomalies, updates on breast cancer strategies with zovegalisib – haven’t fully been priced in. Which is either brilliant foresight or blissful ignorance. I’m leaning towards the latter.

Financially, Relay ended 2025 with around $555 million in cash. They expect that to last until 2029, which is…optimistic. They also lost $276.5 million last year, which is…less optimistic. But hey, you gotta spend money to make money, right? Or, in this case, to maybe, possibly, hopefully, develop a life-saving drug.

Within a portfolio of innovative biotech names, this is a sizable holding for Casdin. And for long-term investors? It’s less about last year’s stock chart and more about execution. If Relay can validate its Phase 3 strategy and expand into genetic disease, this add could look like shrewd sizing ahead of potential value inflection. Or, you know, a very expensive mistake. Time will tell. And I’ll be here, watching with a healthy dose of cynicism and a large glass of wine.

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2026-02-27 19:05