CBIO stock gains after closing first steps in reverse merger (NASDAQ:CBIO)
Catalyst Biosciences (CBIO) gained Tuesday after announcing several transactions to highlight the completion of the first steps in its reverse merger plan. Read the full story here.
cagkansayin Clinical-stage biotech Catalyst Biosciences (NASDAQ:CBIO) added ~6% pre-market Tuesday after the company announced several transactions to highlight the completion of the first steps in its reverse merger plan. Accordingly, Catalyst (CBIO) has inked agreements for the sale and purchase of liver and kidney fibrosis program F351 of Japanese multinational GNI Group. In a separate deal, Catalyst (CBIO) also agreed to issue new shares to GNI and other minority stockholders to obtain a controlling interest in China-based commercial-stage pharma company Beijing Continent.
The business combination agreement is subject to stockholder approval and certain other closing conditions, Catalyst (CBIO) and GNI said. Per the terms, GNI and the minority holders will receive ~1.1B of CBIO shares in exchange for ~65% of ownership interest in Continent, which is advancing F351 for hepatitis B virus (HBV)-associated fibrosis and non-alcoholic steatohepatitis ('NASH'). The acquisition of F351 and the business combination 'accelerate the return of cash to stockholders and provide additional value to our stockholders through equity ownership of Continent and a CVR for the monetization of our legacy assets,' CEO of Catalyst (CBIO) Nassim Usman said.
Additionally, Catalyst (CBIO) has planned to distribute a ~$7.5M worth of special dividend and issue a non-transferable contingent value right (CVR) on Jan. 12, 2023, for stockholders as of the Jan. 05 record date.
Catalyst (CBIO) made its public debut following a reverse merger with North Carolina biotech Targacept in 2015.