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GERMANTOWN, Md./ALTRINCHAM, U.K. - Barinthus Biotherapeutics plc (NASDAQ:BRNS), whose shares have surged over 40% in the past week and currently trade at $1.48, and privately held Clywedog Therapeutics announced Tuesday they have entered into a definitive merger agreement to combine in an all-stock transaction, creating a company focused on metabolic and autoimmune diseases. According to InvestingPro data, Barinthus brings a market capitalization of approximately $60 million to the deal, with analysts setting price targets ranging from $3 to $6 per share.
The combined entity will operate as Clywedog Therapeutics and is expected to trade on the NASDAQ under the ticker symbol "CLYD" following the transaction’s anticipated close in the first half of 2026.
Under the agreement terms, Barinthus Bio shareholders will receive one share of the combined company for each American Depositary Share or ordinary share owned, while Clywedog stockholders will receive approximately 4.36 shares for each common or preferred share. Upon completion, Barinthus Bio shareholders are expected to own approximately 34% of the combined company, with Clywedog stockholders owning the remaining 66%.
The merged company will advance a portfolio of three clinical-stage candidates targeting diabetes and celiac disease, with four clinical data milestones expected within 18 months of closing. The pipeline includes CLY-101 for Type 1 and Type 2 diabetes, CLY-201 for Type 1 diabetes, and VTP-1000 for celiac disease.
Bill Enright, current CEO of Barinthus Bio, will serve as CEO of the combined company, which will be led by an executive team drawn from both organizations. Dr. Iain Dukes, currently Clywedog’s CEO and a venture partner at OrbiMed, will serve as Executive Chairman.
The combined company will be supported by existing cash and additional investments from OrbiMed and Torrey Pines Investment LLC, both existing Clywedog shareholders, along with new investors. The company estimates its cash runway will extend through 2027.
The transaction is subject to approval by both companies’ stockholders and customary closing conditions and regulatory approvals.
This article is based on a press release statement from the companies.
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