[Form 4] Regulus Therapeutics Inc. Insider Trading Activity

Rhea-AI Filing Summary

Regulus Therapeutics Inc. (RGLS) – Form 4 insider filing

Director Jason Raleigh Nunn reported the disposition of all equity holdings on 25 June 2025 in connection with the closing of the merger between Regulus Therapeutics Inc. (the “Issuer”) and Novartis AG. All 62,500 shares of common stock and the entire option portfolio were automatically converted under the Agreement and Plan of Merger dated 29 April 2025.

• Common stock: 62,500 shares converted (Transaction code “D”) into the right to receive the “Offer Price” consisting of $7.00 in cash per share plus one contingent value right (CVR).
• In-the-Money stock options (exercise price < $7.00): 148,650 options cancelled and exchanged for (i) cash equal to $7.00 minus the exercise price, multiplied by the number of underlying shares, and (ii) an equivalent number of CVRs.
• Out-of-the-Money stock options (exercise price ≥ $7.00 but < $14.00): 10,975 options cancelled and converted solely into CVRs. Future cash is contingent on milestone achievement as described in the Merger Agreement.

Following these transactions, the reporting person holds 0 shares and 0 derivative securities; ownership is reported as “D” (direct) throughout.

The filing confirms that the merger became effective at the close of business on 25 June 2025, after Merger Sub’s successful tender offer. Regulus now operates as a wholly owned subsidiary of Novartis, and its former equity securities have been replaced by cash consideration and CVRs in accordance with the merger terms.

Positive

• Merger close confirmed: Filing verifies that the Novartis cash tender offer and subsequent merger became effective on 25 June 2025.
• Cash payout secured: Common shareholders receive $7.00 per share in cash plus one contingent value right, formalising deal economics.
• Clean equity conversion: All options and RSUs appropriately settled or exchanged, eliminating residual equity liabilities.

Negative

• None.

Insights

Securities Analyst

TL;DR: Form 4 confirms merger close; insider equity converted to $7 cash plus CVR, leaving zero remaining holdings.

This Form 4 provides transactional proof that the Novartis acquisition of Regulus closed on 25 June 2025. The director’s 62,500 shares and 159,625 options were all cancelled and exchanged for the agreed cash consideration and CVRs. No open-market selling occurred—code “D” reflects merger conversion. Shareholders receive immediate liquidity at $7 per share with upside via CVRs linked to a future milestone. The insider’s exit implies no continuing public float; consequently, RGLS will cease to trade. The filing is largely procedural but materially confirms deal consummation and payout mechanics, removing uncertainty around completion.

M&A Specialist

TL;DR: Filing evidences final step of April 29 merger; consideration structure ($7 + CVR) now legally effected.

The detailed option and RSU treatment mirrors standard biotech deal structures: in-the-money options receive cash parity, while out-of-the-money options convert solely into CVRs, preserving potential upside without upfront dilution to the buyer. The conversion of all classes of equity and derivative securities, and the reporting person’s resulting zero balance, are strong indications that the squeeze-out closed smoothly. Investors should note the milestone-based nature of the CVR: future payments depend on achieving a specified event (not disclosed here). Overall, the disclosure is positive, confirming closing conditions satisfied, consideration delivered, and no post-closing equity overhang.

SEC Form 4

FORM 4

UNITED STATES SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

STATEMENT OF CHANGES IN BENEFICIAL OWNERSHIP

Filed pursuant to Section 16(a) of the Securities Exchange Act of 1934
or Section 30(h) of the Investment Company Act of 1940

OMB APPROVAL

OMB Number:			3235-0287
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X

Check this box if no longer subject to Section 16. Form 4 or Form 5 obligations may continue. See Instruction 1(b).

Check this box to indicate that a transaction was made pursuant to a contract, instruction or written plan for the purchase or sale of equity securities of the issuer that is intended to satisfy the affirmative defense conditions of Rule 10b5-1(c). See Instruction 10.

1. Name and Address of Reporting Person^*

Nunn Jason Raleigh

(Last) (First) (Middle)

C/O REGULUS THERAPEUTICS INC.

4224 CAMPUS POINT CT., #210

(Street)

SAN DIEGO CA 92121

(City) (State) (Zip)

2. Issuer Name and Ticker or Trading Symbol
Regulus Therapeutics Inc. [ RGLS ]

5. Relationship of Reporting Person(s) to Issuer
(Check all applicable)

X	Director		10% Owner
	Officer (give title below)		Other (specify below)

3. Date of Earliest Transaction (Month/Day/Year)
06/25/2025

4. If Amendment, Date of Original Filed (Month/Day/Year)

6. Individual or Joint/Group Filing (Check Applicable Line)

X	Form filed by One Reporting Person
	Form filed by More than One Reporting Person

Table I - Non-Derivative Securities Acquired, Disposed of, or Beneficially Owned
1. Title of Security (Instr. 3)	2. Transaction Date (Month/Day/Year)	2A. Deemed Execution Date, if any (Month/Day/Year)	3. Transaction Code (Instr. 8)		4. Securities Acquired (A) or Disposed Of (D) (Instr. 3, 4 and 5)			5. Amount of Securities Beneficially Owned Following Reported Transaction(s) (Instr. 3 and 4)	6. Ownership Form: Direct (D) or Indirect (I) (Instr. 4)	7. Nature of Indirect Beneficial Ownership (Instr. 4)
			Code	V	Amount	(A) or (D)	Price
Common Stock	06/25/2025		D(1)(2)		62,500	D	(3)(4)	0	D

Table II - Derivative Securities Acquired, Disposed of, or Beneficially Owned (e.g., puts, calls, warrants, options, convertible securities)
1. Title of Derivative Security (Instr. 3)	2. Conversion or Exercise Price of Derivative Security	3. Transaction Date (Month/Day/Year)	3A. Deemed Execution Date, if any (Month/Day/Year)	4. Transaction Code (Instr. 8)		5. Number of Derivative Securities Acquired (A) or Disposed of (D) (Instr. 3, 4 and 5)		6. Date Exercisable and Expiration Date (Month/Day/Year)		7. Title and Amount of Securities Underlying Derivative Security (Instr. 3 and 4)		8. Price of Derivative Security (Instr. 5)	9. Number of derivative Securities Beneficially Owned Following Reported Transaction(s) (Instr. 4)	10. Ownership Form: Direct (D) or Indirect (I) (Instr. 4)	11. Nature of Indirect Beneficial Ownership (Instr. 4)
				Code	V	(A)	(D)	Date Exercisable	Expiration Date	Title	Amount or Number of Shares
Stock Option	$6.4	06/25/2025		D(1)(2)			4,650	(5)	(5)	Common Stock	4,650	(5)	0	D
Stock Option	$8.8	06/25/2025		D(1)(2)			2,325	(6)	(6)	Common Stock	2,325	(6)	0	D
Stock Option	$9.9	06/25/2025		D(1)(2)			4,000	(6)	(6)	Common Stock	4,000	(6)	0	D
Stock Option	$2.7	06/25/2025		D(1)(2)			9,000	(5)	(5)	Common Stock	9,000	(5)	0	D
Stock Option	$1.45	06/25/2025		D(1)(2)			30,000	(5)	(5)	Common Stock	30,000	(5)	0	D
Stock Option	$1.36	06/25/2025		D(1)(2)			15,000	(5)	(5)	Common Stock	15,000	(5)	0	D
Stock Option	$2.01	06/25/2025		D(1)(2)			30,000	(5)	(5)	Common Stock	30,000	(5)	0	D
Stock Option	$2.01	06/25/2025		D(1)(2)			60,000	(5)	(5)	Common Stock	60,000	(5)	0	D

Explanation of Responses:

1. This Form 4 reports securities disposed pursuant to that certain Agreement and Plan of Merger, dated as of April 29, 2025 (the "Merger Agreement"), by and among Regulus Therapeutics Inc. (the "Issuer"), Redwood Merger Sub Inc. ("Merger Sub"), a wholly owned, indirect subsidiary of Novartis AG ("Parent"), and Parent. Pursuant to the Merger Agreement, Merger Sub completed a cash tender offer to acquire all of the issued and outstanding shares of common stock of the Issuer, par value $0.001 (the "Shares"), in exchange for (a) $7.00 in cash per Share (the "Closing Amount"), subject to any applicable withholding and without interest thereon, plus (b) one contingent value right (each, a "CVR") per Share.

2. Each CVR represents the right to receive one contingent payment of $7.00 in cash (the Closing Amount and one CVR, collectively, the "Offer Price"), subject to any applicable withholding and without interest thereon, upon the achievement of the milestone specified in, and on the other terms and subject to the other conditions set forth in, that certain CVR Agreement entered into between Parent and a rights agent. Effective as of June 25, 2025, Merger Sub merged with and into the Issuer (the "Effective Time"), with the Issuer continuing as the surviving corporation and as a wholly owned subsidiary of Parent.

3. Pursuant to the terms of the Merger Agreement, these Shares were converted into the right to receive the Offer Price.

4. Pursuant to terms of the Merger Agreement, each restricted stock unit that was subject to vesting or forfeiture conditions that was outstanding immediately prior to the Effective Time was automatically canceled and terminated and converted into the right to receive (i) an amount in cash (without interest and subject to applicable withholding) equal to the product obtained by multiplying (A) the aggregate number of Shares underlying such restricted stock unit immediately prior to the Effective Time by (B) the Closing Amount, plus (ii) one CVR with respect to each Share subject to such restricted stock unit immediately prior to the Effective Time.

5. Pursuant to terms of the Merger Agreement, each stock option that was outstanding and unexercised immediately prior to the Effective Time with a per Share exercise price less than the Closing Amount (each, an "In-the-Money Option") was automatically canceled and terminated and converted into the right to receive (i) a payment in cash (without interest and subject to applicable withholding), if any, equal to the product obtained by multiplying (A) the aggregate number of Shares underlying such In-the-Money Option immediately prior to the Effective Time by (B) an amount equal to the Closing Amount less the per Share exercise price of such In-the-Money Option plus (ii) one CVR with respect to each Share subject to such In-the-Money Option immediately prior to the Effective Time.

6. Pursuant to terms of the Merger Agreement, each stock option that was outstanding and unexercised with a per Share exercise price equal to or greater than the Closing Amount but less than $14.00 (each, an "Out-of-the-Money Option") was automatically canceled and terminated and converted into the right to receive one CVR with respect to each Share subject to such Out-of-the-Money Option immediately prior to the Effective Time, and therefore may become entitled to receive, as of the date of the Milestone Payment (as defined in the Merger Agreement), an amount in cash (without interest and subject to applicable withholding), if any, equal to the product obtained by multiplying (i) the aggregate number of CVRs received in respect of such Out-of-the-Money Option by (ii) an amount equal to $14.00, less the per Share exercise price of such Out-of-the-Money Option (provided if no Milestone Payment is made, then no payments will be made with respect to any Out-of-the-Money Option).

	/s/ Christopher Aker, Attorney-in-Fact	06/27/2025
	** Signature of Reporting Person	Date
Reminder: Report on a separate line for each class of securities beneficially owned directly or indirectly.
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FAQ

What did Regulus Therapeutics (RGLS) shareholders receive at closing?

Each share was converted into $7.00 in cash plus one contingent value right (CVR).

Did the insider sell shares on the open market?

No. The 62,500 shares were automatically converted under the merger agreement (transaction code "D").

How were in-the-money stock options treated?

They were cancelled and exchanged for cash equal to $7.00 minus the exercise price per share, plus an equivalent number of CVRs.

What happens to out-of-the-money options (strike ≥ $7)?

They were cancelled and converted solely into CVRs; future cash depends on milestone attainment.

Does the insider hold any Regulus securities after the merger?

No. The filing shows 0 shares and 0 derivative securities remaining.