BofA update shows where active managers are putting money
WALTHAM, Mass. - Aerovate Therapeutics, Inc. (NASDAQ:AVTE), a biotechnology firm with a current market capitalization of $72.17 million, has indicated plans to issue a cash dividend to its stockholders before its upcoming merger with Jade Biosciences, Inc. The anticipated dividend is expected to be between $67.6 million and $69.6 million in total, contingent on the company’s net cash position at the time of the merger’s completion. According to InvestingPro data, this would mark the company’s first dividend payment, as it has historically not distributed dividends to shareholders.
The official declaration and the exact amount of the cash dividend are pending approval from Aerovate’s board of directors, with an announcement due later this month. The payment of the dividend is set to coincide with the closing of the merger, which is subject to stockholder approval and other customary closing conditions. InvestingPro analysis shows the company maintains a strong liquidity position with a current ratio of 20.93, indicating ample assets to meet its short-term obligations.
Aerovate’s stockholders are scheduled to vote on the merger during a special meeting at 9:00 a.m. ET on April 16, 2025. With all conditions expected to be met, the parties anticipate the merger to finalize by April 30, 2025.
The merger between Aerovate, known for its work in rare cardiopulmonary diseases, and Jade Biosciences, which focuses on autoimmune disease therapies, is seen as a strategic move to combine their expertise and pipelines. Jade’s lead asset, JADE-001, is currently preparing for a first-in-human trial in the latter half of 2025, targeting a cytokine for the treatment of IgA nephropathy.
Aerovate’s announcement comes with the usual caution that forward-looking statements are subject to risks and uncertainties. The company stresses that actual results may vary significantly if certain assumptions prove incorrect or if unforeseen risks materialize.
This disclosure is based on a press release statement and does not constitute an offer to sell securities or a solicitation of an offer to buy. It is intended to provide information to Aerovate’s investors and stockholders regarding the expected cash dividend in connection with the proposed merger with Jade Biosciences. The stock has experienced significant volatility, with InvestingPro data showing a 90% decline over the past year. Investors seeking deeper insights into Aerovate’s financial health metrics and additional analysis can access 8 more exclusive ProTips and comprehensive financial data through InvestingPro.
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