Vertex Pharmaceuticals stock falls after pain drug fails in Phase 2 study
SOUTH SAN FRANCISCO - Alumis Inc. (NASDAQ:ALMS), a biopharmaceutical company specializing in precision therapies for immune-mediated diseases and currently valued at $286 million, announced today that its stockholders have approved all necessary proposals for its merger with ACELYRIN, INC. (NASDAQ:SLRN). The approval was secured during Alumis’s Special Meeting of Stockholders. According to InvestingPro data, Alumis maintains a healthy balance sheet with more cash than debt, though the company has been rapidly burning through its cash reserves.
Martin Babler, President and CEO of Alumis, expressed gratitude to the stockholders for their support, emphasizing the company’s commitment to rapidly concluding the merger process. Babler highlighted the potential benefits of the merger, including a stronger financial foundation and enhanced capabilities to advance treatments for immune-mediated diseases. The merger comes as Alumis’s stock has seen significant volatility, with a 21% gain in the past week despite a 51% decline over the previous six months. Analysts remain optimistic, with price targets ranging from $14 to $29 per share.
The merger, which is anticipated to be finalized in the second quarter of 2025, is still subject to customary closing conditions. Detailed results of the stockholder voting will be disclosed in a Form 8-K to be filed with the U.S. Securities and Exchange Commission.
Alumis is currently developing ESK-001, a targeted oral treatment for patients with moderate-to-severe plaque psoriasis and systemic lupus erythematosus. Another candidate, A-005, is being explored for neuroinflammatory and neurodegenerative diseases. Both drug candidates are part of a broader pipeline that leverages Alumis’s proprietary precision data analytics platform to address a variety of immune-mediated diseases. The company’s current ratio of 6.01 indicates strong short-term liquidity to support its development programs. Want deeper insights into Alumis’s financial health? InvestingPro subscribers have access to over 30 additional financial metrics and exclusive analysis.
This press release contains forward-looking statements about the proposed transaction between Alumis and ACELYRIN, including expectations regarding the completion and benefits of the merger. These statements are subject to risks and uncertainties that may cause actual results to differ materially from expectations, particularly given the company’s current negative EBITDA of -$298 million and anticipated losses for the upcoming fiscal year.
The information is based on a press release statement and is intended for general informational purposes. It does not constitute an offer to sell or a solicitation of an offer to buy any securities.
In other recent news, ACELYRIN, Inc. shareholders have approved a merger with Alumis Inc., which is expected to close in the second quarter of 2025. The merger agreement stipulates that ACELYRIN stockholders will receive 0.4814 shares of Alumis common stock for each share they own, increasing their ownership stake to approximately 48% of the combined company. Meanwhile, Alumis stockholders will hold about 52% ownership. H.C. Wainwright has recently adjusted its price target for Alumis to $14.00 from $15.00 but maintained a Buy rating following the merger’s amended terms. The merger aims to enhance the combined clinical pipeline, featuring therapies like Alumis’s ESK-001 and ACELYRIN’s lonigutamab. Additionally, Alumis has entered a strategic partnership with Kaken Pharmaceutical Co. to develop and commercialize the TYK2 inhibitor, ESK-001, in Japan, with potential milestone payments up to $140 million. This partnership highlights a significant step in advancing therapeutic options for dermatological conditions. The merger and partnership developments indicate strategic moves to bolster both companies’ positions in the biopharmaceutical industry.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.