A struggling Pharmexa and Affitech have struck a deal to merge into a new company that will focus on new antibody therapeutics. After the stock transaction is closed, Affitech shareholders will control 70 percent of the stock and Pharmexa shareholders will hold 30 percent. And a new share issue is planned for later in the year.
"The integration of the two companies marks a transformational event by combining the antibody discovery expertise and early product pipeline of Affitech with the drug development capabilities, processes and infrastructure of Pharmexa," say the two companies in a release. The new company will be named Affitech and its shares will trade on the Copenhagen exchange.
"Pharmexa has experienced product setbacks over the last year which have led us to consider a variety of strategic options to revitalize the business and to generate future value for our shareholders," said Pharmexa CEO Dr. Achim Kaufhold. And after the merger Pharmexa will change its focus from cancer and infectious disease vaccines to antibodies.
- here's the release for more