New York, Jan 26, 2026, 11:27 ET — Regular session
- ImmunityBio shares slipped after investors digested an SEC filing revealing looser conversion terms on a $505 million convertible note.
- The change permits partial conversions into stock, a move traders frequently interpret as a dilution risk.
- Next on the docket: a glioblastoma data presentation set for Jan. 31, followed by a 30-day period linked to an FDA resubmission package.
ImmunityBio shares slipped 1.6% to $6.35 in late-morning trading Monday following news of an amendment to a sizable convertible note held by an affiliate of its executive chairman. The stock fluctuated between $6.28 and $6.92, with roughly 16.8 million shares changing hands.
This filing underscores how much capital structure can sway the stock, rivaling the impact of trial news. A convertible note works like a loan that can be exchanged for shares, reducing debt but risking dilution for current shareholders if conversions take place.
The broader biotech sector held steady: the SPDR S&P Biotech ETF remained flat, while the iShares Nasdaq Biotechnology ETF nudged up slightly, providing neither support nor drag for individual stocks.
ImmunityBio revealed in a Form 8-K that it has amended a $505.0 million convertible promissory note with Nant Capital, linked to Dr. Patrick Soon-Shiong, the company’s executive chairman and global chief scientific and medical officer. The change now lets the holder convert “any portion” of the outstanding principal into common stock before the note matures, a flexibility not allowed under the original terms. Aside from this, no other conditions were altered, according to the filing. (SEC)
Analyst chatter kept ImmunityBio in focus Monday. H.C. Wainwright bumped its price target to $10 from $8, maintaining a buy rating, per an Investing report.
The note referred to a recent regulatory update on ANKTIVA, ImmunityBio’s leading immunotherapy. On Jan. 20, the company announced that the FDA requested more data to support a possible resubmission of its supplemental biologics application—aimed at expanding the drug’s label for ANKTIVA plus BCG in BCG-unresponsive papillary non-muscle invasive bladder cancer—without demanding a new clinical trial. CEO Richard Adcock said, “We have completed the assembly and analysis of the requested additional information and will submit it within the next 30 days.” (ImmunityBio)
ImmunityBio released new data last week on its ANKTIVA-based combo for recurrent glioblastoma. Principal investigator Simon Khagi noted median overall survival typically ranges from six to nine months. The updated results are set for presentation on Jan. 31 at the Stand Up to Cancer Glioblastoma Innovation Scientific Summit in Pasadena, California. (Business Wire)
For traders, the note amendment introduces a new, mechanical factor to a stock already reacting to catalysts. While the note’s size stays the same, it alters how easily the holder can drip conversions into the market.
The risk is clear: partial conversions might stir up dilution concerns, even if the company’s just boosting flexibility. Plus, any clinical or regulatory news ahead could swing the stock either way. There’s a fair bit of volatility baked into this situation.
What’s next is clearer than the chart: investors will be on the lookout for follow-on filings that indicate conversion activity, the Jan. 31 glioblastoma presentation, and whether ImmunityBio meets its self-imposed 30-day deadline to submit the FDA information package.
