[ad_1]

Morphimmune, a biotech business founded by former Seagen CEO Clay Siegall, is merging with Immunome, a public biotech company, in a $125 million deal backed by private investors.

Siegall will be the CEO, president, and chairman of the board of directors of the merged firm, Immunome, which will be headquartered in Seattle.

“This is the first step towards establishing a preeminent oncology company,” Siegall said in a statement announcing the acquisition.

Siegall returned to biotech after resigning from Seagen in May 2022 due to an alleged domestic violence incident involving his then-wife. Prosecutors announced in December that they would not bring charges for “evidentiary reasons.”

Seagen, which Siegall co-founded more than two decades ago, announced in March that it had agreed to be acquired by Pfizer for $43 billion.

Morphimmune also announced Siegall’s appointment as CEO and President in March. The Purdue University spinoff had secured $17 million at the time and planned to relocate its headquarters to Seattle. It had roughly ten employees in March.

“Clay Siegall’s track record of drug development and shareholder value creation is exceptional,” Immunome Board Chairman Michael Rapp stated in a statement. He went on to say that “Clay will be positioned to develop best-in-class targeted cancer therapies across multiple modalities.”

Morphimmune’s portfolio is similar to the medication class pioneered by Seagen, antibody-drug conjugates (ADCs). ADCs use an antibody that recognizes a cell surface target to deliver a toxin or other payload to cells. Morphimmune, on the other hand, does not use antibodies and instead targets cells with smaller molecules.

Immunome, which focuses on antibody-based therapeutics, plans to go public in 2020. Since the merger was announced on Thursday, the company’s stock price has increased by more than 30%.

The merged business intends to submit three investigational new medication applications to the U.S. Food and Medication Administration within 18 months of the deal’s completion, which is expected by the end of the year.

Both firms’ boards of directors have authorized the all-stock deal, which will give Immunome owners 55% of the merged company and Morphimmune stockholders around 45%, excluding an inducement award to Siegall.

Enavate Sciences, EcoR1 Capital, Redmile Group, Janus Henderson Investors, Avidity Partners, and Woodline Partners are among the investors in the $125 million private placement that will accompany the transaction. James Boylan, CEO of Enavate Sciences, will join the Immunome board of directors.

Though it will be based in Seattle, the combined company will maintain research labs in Exton, Pa. and Lafayette, Ind.

[ad_2]

Source link