ACELYRIN urges stockholders to approve Alumis merger

Published 01/05/2025, 18:38
ACELYRIN urges stockholders to approve Alumis merger

LOS ANGELES - ACELYRIN, Inc. (Nasdaq: SLRN), a biopharmaceutical company specializing in immunology treatments with a market capitalization of $248.75 million, has reaffirmed its stance on the proposed merger with Alumis Inc. (Nasdaq: ALMS), emphasizing the transaction as the most advantageous route for its shareholders. According to InvestingPro data, ACELYRIN’s stock has shown significant momentum with a 13.8% gain over the past week, despite facing a challenging six-month period. The ACELYRIN Board, led by Chair Bruce Cozadd, has unanimously recommended stockholders to vote in favor of the merger ahead of the Special Meeting scheduled for May 13, 2025.

The board argues that the merger will create a leading clinical-stage immunology company with a diverse portfolio and significant potential for value appreciation. Stockholders of ACELYRIN are expected to retain approximately 48% ownership in the combined entity. The company maintains a strong financial position with a healthy current ratio of 18.1 and more cash than debt on its balance sheet, though InvestingPro analysis indicates rapid cash consumption requires monitoring. This comes after a thorough review by an independent transaction committee, resulting in a revised agreement that increases ACELYRIN stockholders’ ownership in the new company.

The Board has also advised stockholders to disregard the perspectives of short-term investors who have recently increased their stakes following the merger announcement. The rights plan adopted on March 13, 2025, in response to Tang Capital’s rapid accumulation of ACELYRIN stock, was highlighted as a measure to protect shareholder value.

The press release included forward-looking statements regarding the benefits and timing of the proposed transaction, the combined company’s financial resources, and competitive positioning. It also mentioned the various risks and uncertainties associated with the merger, including the possibility that it may not be completed as planned or may not yield the anticipated benefits.

ACELYRIN has already secured consent from Alumis for the rights plan as required under the merger agreement. The merger is subject to stockholder approval from both companies, and the registration statement related to the merger was declared effective on April 23, 2025.

The information in this article is based on a press release statement from ACELYRIN, Inc. For deeper insights into ACELYRIN’s financial health, valuation metrics, and expert analysis, investors can access the comprehensive Pro Research Report available on InvestingPro, which covers over 1,400 US stocks with detailed financial analysis and actionable intelligence.

In other recent news, Acelyrin Inc. has adopted a stockholder rights plan following the acquisition of a significant portion of its shares by Tang Capital Partners, which now holds 8.8% of the company’s outstanding common stock. The plan will issue one right per share of common stock, becoming exercisable if an entity acquires 10% or more of Acelyrin’s shares. Meanwhile, Acelyrin confirmed receiving an unsolicited buyout proposal from Concentra Biosciences, offering to purchase all outstanding shares at $3.00 each, alongside a contingent value right. This development comes as Acelyrin is preparing for a merger with Alumis Inc., expected to conclude in the second quarter of 2025. The company’s board remains committed to fulfilling its fiduciary duties and adhering to the terms of the current merger agreement with Alumis. Financial advisory services for Acelyrin are being provided by Guggenheim Securities, LLC, with legal counsel from Fenwick & West LLP and Paul Hastings LLP. Acelyrin has assured shareholders that no immediate action is required in response to the buyout interest. The company has pledged to keep shareholders informed of any significant updates as the situation evolves.

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