TransCode Therapeutics (NASDAQ:RNAZ) shares jumped 50% on Wednesday after the company announced the acquisition of Polynoma alongside a $25 million strategic investment from a subsidiary of CK Life Sciences.
The acquisition significantly enhances TransCode’s oncology pipeline by adding Polynoma’s Phase 3-ready candidate, seviprotimut-L, a polyvalent shed antigen vaccine developed for adjuvant treatment of melanoma. At the same time, CK Life Sciences’ $25 million investment will primarily fund the advancement of TransCode’s lead microRNA therapeutic, TTX-MC138, into a Phase 2 clinical trial.
Under the deal terms, CK Life Sciences received roughly 83,285 shares of common stock and 1,152.9568 shares of non-voting Series A convertible preferred stock in exchange for Polynoma. Additionally, its subsidiary purchased 223.7337 shares of non-voting Series B convertible preferred stock for $25 million, consisting of $20 million in cash and a $5 million promissory note.
Upon completion of the transaction, CK Life Sciences holds about 91% ownership of the combined company on a fully diluted basis, while existing TransCode shareholders retain around 9%. The merged entity carries a fully diluted equity value of roughly $165 million.
As part of the reorganization, Philippe Calais has been named Chief Executive Officer while continuing to serve as Chairman of the Board. Tom Fitzgerald steps down as Interim CEO but remains Chief Financial Officer and board member, and Elizabeth Czerepak joins as an independent board member and Audit Committee Chair.
TransCode’s expanded portfolio now includes TTX-MC138, which targets microRNA-10b, and seviprotimut-L, aimed at melanoma patients with limited treatment options in stage IIB and IIC disease. The company also continues preclinical research exploring synergies between TTX-MC138 and seviprotimut-L technologies.
TransCode Therapeutics stock price
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