Recursion Pharmaceuticals (RXRX) stock soared 5.17% in the pre-market session on Wednesday, following the announcement of Altitude Lab, a biotech accelerator founded by Recursion, launching a pre-seed venture fund aimed at supporting early-stage biotechnology startups impacted by recent federal funding policy shifts.

The Altitude Lab Fund intends to provide crucial capital, lab space, and mentorship to promising Small Business Innovation Research (SBIR) reviewed companies, further strengthening Salt Lake City's position as a national biotech hub. With recent policy changes placing an estimated 1,500 health-related startups in limbo, jeopardizing critical advancements in medicine, drug development, and diagnostics, the fund aims to bridge this gap and help secure the future of biotech innovation in America.

The fund, led by Recursion's Co-founder and CEO Chris Gibson, serial entrepreneur David Bearss, and Altitude's executive director Chandana Haque, will offer $100,000–$250,000 in pre-seed investment capital, 12 months of lab and office space, and admission to Altitude Lab's accelerator program. Startups interested are eligible for funding if they have received an Impact Score of 20 or less in a recent SBIR submission.