Fund Discloses $35 Million Biotech Buy Amid Staggering 830% Terns Stock Surge

Company Overview - Terns Pharmaceuticals is a clinical-stage biotechnology company focused on developing innovative therapies for liver and metabolic diseases, particularly non-alcoholic steatohepatitis (NASH) and obesity [6] - The company has a diversified pipeline of small-molecule drug candidates with differentiated mechanisms and liver-targeted profiles [6] - Terns Pharmaceuticals reported a market capitalization of $4 billion and a net income of -$94.44 million for the trailing twelve months (TTM) [4] Recent Developments - First Turn Management, LLC disclosed a new position in Terns Pharmaceuticals, acquiring 872,049 shares valued at approximately $35.23 million as of February 13, 2026 [1][2] - This new position represents 4.03% of First Turn Management's total reportable U.S. equity holdings of $875.20 million as of December 31, 2025 [7] - Terns Pharmaceuticals shares were priced at $37.79, reflecting a remarkable one-year price change of 826.2%, significantly outperforming the S&P 500 by 814.43 percentage points [7][4] Pipeline and Product Development - Terns Pharmaceuticals is advancing several drug candidates, including TERN-101 (Phase IIa), TERN-201 (Phase Ib), TERN-501 (Phase I), and TERN-601 (preclinical/early clinical) [8] - The company aims to generate value through the advancement of proprietary drug candidates toward regulatory approval and potential out-licensing or commercialization partnerships [8] Market Performance and Investor Sentiment - The stock's significant price increase was largely driven by positive Phase 1 results for TERN-701 in relapsed and refractory chronic myeloid leukemia (CML), which reported a 75% cumulative major molecular response rate by 24 weeks [9] - The timing of First Turn Management's acquisition is unclear, as it is uncertain whether the shares were purchased before or after the stock's surge following the November data release [10]