Twist Bioscience prices $300 million upsized stock offering

Twist Bioscience Corp. priced an upsized $300 million underwritten public offering of 3.125 million common shares at $96 apiece, selling the stock to fund manufacturing capacity and research as the DNA synthesis specialist extends a sharp 2026 advance.

The South San Francisco-based company, which trades on Nasdaq under TWST, will use the net proceeds together with existing cash, cash equivalents and marketable securities to fund research and development investments, expand manufacturing capacity and broaden product offerings, with the remainder for working capital and general corporate purposes, it said in a statement.

The offering was upsized from the $250 million Twist proposed Aug. 4, reflecting strong investor demand. Underwriters led by Goldman Sachs & Co., William Blair, Leerink Partners and Guggenheim Securities hold a 30-day option to buy up to an additional 468,750 shares at the offering price, less discounts and commissions. The deal is expected to close Aug. 6, subject to customary conditions.

The raise comes as Twist, with a market capitalization of about $6.29 billion, ranks among the top 40 year-to-date gainers on the Nasdaq and 85th among 52-week gainers, according to StockTitan data. The 3.125 million new shares, equal to roughly 5 percent of the 61.3 million-share float, will dilute existing holders near term, though the capital strengthens the balance sheet for capacity expansion in a synthetic biology market where rivals include Ginkgo Bioworks and GenScript Biotech.

Upsized to $300 million from $250 million

Twist's offering follows a fiscal 2026 third-quarter report on Aug. 3 that showed the company's growth trajectory intact. The company, which manufactures synthetic DNA at scale on silicon-based platforms, has been expanding production to meet demand from customers in diagnostics, therapeutics, industrial and agricultural markets.

The proceeds will help fund that expansion at a time when synthetic biology companies compete for capital. Ginkgo Bioworks, a Boston-based peer, has relied on partnerships and cost cuts to extend its runway, while GenScript Biotech has leaned on its biologics contract manufacturing arm for growth. Twist's decision to raise equity rather than debt reflects management's view that its shares, up sharply this year, offer an attractive currency for funding growth.

Twist's silicon-based DNA synthesis platform, which writes genes and oligos at high throughput, has positioned the company to capture demand from next-generation sequencing workflows and antibody discovery programs. Its customer base spans diagnostics, therapeutics, industrial and agricultural markets, giving it a diversified revenue stream as it scales production.

The offering was made under an automatic shelf registration statement on Form S-3 filed with the U.S. Securities and Exchange Commission on June 18, which became effective upon filing. A final prospectus supplement will be filed with the SEC, and copies will be available on the agency's website.

The upsizing from $250 million to $300 million shows demand exceeded the initial target, a positive read-through for the company's growth narrative even as the new shares weigh on near-term valuation. The stock's strong run this year has made equity financing more attractive than debt, giving Twist a cheaper source of capital to fund its manufacturing buildout. For investors, the trade-off is clear: near-term dilution against a stronger balance sheet and faster capacity growth in a sector where scale determines who wins long-term contracts.

This article is for informational purposes only and does not constitute investment advice.