PRIMECAP Amends Biogen Stake, Signals Continued Passive Holding

Ticker: BIIB · Form: SC 13G/A · Filed: 2024-02-12T00:00:00.000Z

Sentiment: neutral

Topics: institutional-ownership, passive-investing, amendment, biotech

TL;DR

**PRIMECAP updated its Biogen stake, still a major passive holder.**

AI Summary

PRIMECAP Management Company, an investment firm based in Pasadena, CA, filed an amended Schedule 13G/A on February 12, 2024, indicating their ownership of Biogen Inc. common stock as of December 31, 2023. This filing, Amendment No. 26, updates their previous disclosures, showing their continued significant, though passive, stake in the pharmaceutical company. This matters to investors because large institutional holdings can signal confidence in a company's long-term prospects, but any future changes in their position could influence stock price.

Why It Matters

Large institutional ownership, like PRIMECAP's stake in Biogen, can provide a vote of confidence, but any future reductions could signal a lack of conviction and potentially pressure the stock price.

Risk Assessment

Risk Level: low — This filing is an amendment to a passive ownership report, indicating no immediate change in control or strategy for Biogen.

Analyst Insight

An investor should note PRIMECAP's continued passive interest in Biogen, but understand this filing doesn't signal any new strategic moves or immediate changes in the company's direction. It's a routine update of a significant institutional holding.

Key Players & Entities

Forward-Looking Statements

FAQ

What type of filing is this and what does it generally indicate?

This is an SC 13G/A filing, which is an amendment to a Schedule 13G. It generally indicates that an institutional investor, like PRIMECAP Management Company, holds a significant passive ownership stake (typically 5% or more) in a public company, in this case, Biogen Inc., and is updating their previous disclosure.

Who is the reporting person in this filing?

The reporting person is PRIMECAP Management Company, located at 177 East Colorado Blvd., 11th Floor, Pasadena, CA 91105, with IRS Identification No. 95-3868081.

What is the subject company of this filing?

The subject company is Biogen Inc., a biological products company with CIK 0000875045, located at 225 Binney Street, Cambridge, MA 02142.

What was the 'Date of Event which Requires Filing of this Statement'?

The 'Date of Event which Requires Filing of this Statement' was December 31, 2023, indicating the ownership position being reported is as of the end of last year.

Under which rule is this Schedule 13G filed?

This Schedule 13G is filed under Rule 13d-1(b), which typically applies to institutional investors who acquire beneficial ownership of more than 5% of a class of equity securities in the ordinary course of business and without the purpose or effect of changing or influencing control of the issuer.

Filing Stats: 990 words · 4 min read · ~3 pages · Grade level 8.2 · Accepted 2024-02-12 16:01:42

Filing Documents

(a)

ITEM 1(a). NAME OF ISSUER: Biogen Inc.

(b)

ITEM 1(b). ADDRESS OF ISSUER'S PRINCIPAL EXECUTIVE OFFICES: 225 Binney St., Cambridge, MA 02142

(a)

ITEM 2(a). NAME OF PERSON FILING: PRIMECAP Management Company

(b)

ITEM 2(b). ADDRESS OF PRINCIPAL BUSINESS OFFICE OR, IF NONE, RESIDENCE: 177 E. Colorado Blvd., 11th Floor, Pasadena, CA 91105

(c)

ITEM 2(c). CITIZENSHIP: U.S.A.

(d)

ITEM 2(d). TITLE OF CLASS OF SECURITIES: COM

(e)

ITEM 2(e). CUSIP NUMBER: 09062X103 ITEM 3. IF THIS STATEMENT IS FILED PURSUANT TO SECTION 240.13d-1(b), or 13d-2(b) or (c) CHECK WHETHER THE PERSON FILING IS A: (a) [ ] Broker or dealer registered under Section 15 of the Act (15 U.S.C. 78c); (b) [ ] Bank as defined in Section 3(a)(6) of the Act (15 U.S.C. 78c); (c) [ ] Insurance company as defined in Section 3(a)(19) of the Act (15 U.S.C. 78c); (d) [ ] Investment company registered under Section 8 of the Investment Company Act of 1940 (15 U.S.C 80a-8); (e) [X] An investment adviser in accordance with 240.13d-1(b)(1)(ii)(E); (f) [ ] An employee benefit plan or endowment fund in accordance with 240.13d-1(b)(1)(ii)(F); (g) [ ] A parent holding company or control person in accordance with 240.13d-1(b)(1)(ii)(G); (h) [ ] A savings associations as defined in Section 3(b) of the Federal Deposit Insurance Act (12 U.S.C. 1813); (i) [ ] A church plan that is excluded from the definition of an investment company under Section 3(c)(14) of the Investment Company Act of 1940 (15 U.S.C. 80a-3); (j) [ ] A non-U.S. institution in accordance with 240.13d-1(b)(1)(ii)(J); (k) [ ] Group, in accordance with 240.13d-1(b)(1)(ii)(K). If filing as a non-U.S. institution in accordance with 240.13d1(b)(1)(ii)(J), please specify the type of institution: ITEM 4. OWNERSHIP (a) Amount beneficially owned: 16,264,481 (b) Percent of class: 11.22% (c) Number of shares as to which the person has: (i) sole power to vote or to direct the vote: 15,855,877 (ii) shared power to vote or to direct the vote: 0 (iii) sole power to dispose or direct the disposition of: 16,264,481 (iv) shared power to dispose or to direct the disposition of: 0 ITEM 5. OWNERSHIP OF FIVE PERCENT OR LESS OF A CLASS: If this statement is being filed to report the fact that as of the date hereof the reporting person has ceased to be the beneficial owner of more than five percent of the class of secur

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