NEW YORK (GenomeWeb News) – Nanobac Pharmaceuticals and Eureka Genomics have inked a definitive merger pact, under which Eureka shareholders will own 85 percent of the merged firm.
The firms had signed a preliminary deal last month that would combine Eureka's bioinformatics capabilities with Nanobac's drug discovery program focused on inhibiting, destroying, or neutralizing calcifying nanoparticles. The company also has a diagnostic program through which it offers IVD kits and reagents for detecting CNPs, and it has a lab, Nanobac OY Clinical Laboratory, in Finland.
Under the terms of the agreement announced today, Nanobac will issue new shares of its common stock to Eureka's stockholders based on an exchange ration that will be determined before the transaction closes. As a result, Eureka shareholders will own 85 percent of the firm, with Nanobac shareholders holding the remaining 15 percent.
As part of the merger, Nanobac — which is publicly held and currently trades on the OTC Pink Sheets under the symbol NNBP — will undertake a reverse stock split. Following closure of the deal, the combined firm will retain the Eureka Genomics name and will trade on the Pink Sheets under a new ticker symbol that has yet to be determined.
"We are confident that this merger will help us accelerate our efforts to develop and partner our next-generation bioinformatics and pursue the development of highly valuable, cost-effective diagnostics, therapeutics, vaccines, and cleantech products such as bioenergy feedstocks," Eureka CFO and COO Didier Perez, said in a statement.
The firms expect to close the merger in the second quarter of this year.