XOMA Royalty to acquire Mural Oncology for up to $2.24 per share

Published 20/08/2025, 13:38
XOMA Royalty to acquire Mural Oncology for up to $2.24 per share

WALTHAM, Mass. - XOMA Royalty Corporation (NASDAQ:XOMA) and Mural Oncology plc (NASDAQ:MURA) announced Wednesday they have entered into a definitive agreement for XOMA to acquire Mural for cash consideration of $2.035 per share, with potential additional payment of up to $0.205 per share. The deal values Mural at a market capitalization of approximately $30.5 million, according to InvestingPro data.

The acquisition follows Mural’s strategic review process initiated in April after the company discontinued all clinical development of its lead drug candidate nemvaleukin alfa due to disappointing trial results. InvestingPro data reveals Mural has been quickly burning through cash, though it maintains a healthy current ratio of 2.87 and holds more cash than its modest $5.17 million in total debt. InvestingPro subscribers have access to 12 additional key insights about Mural’s financial position.

The base price represents a 13.1% premium to Mural’s closing share price on August 19, and a 97.6% premium to its price on April 14, before the strategic review announcement. The offer price aligns closely with Mural’s Fair Value according to InvestingPro analysis, suggesting a reasonable valuation for shareholders.

Under the agreement terms, Mural shareholders will receive a guaranteed base payment of $2.035 per share. The potential additional payment depends on Mural’s closing net cash exceeding the estimated $36.2 million at transaction closing. This structure acknowledges Mural’s strong liquidity position, with InvestingPro data showing liquid assets exceeding short-term obligations.

The Mural board of directors has unanimously approved the transaction and recommends shareholders vote in favor of the acquisition. Company directors, who collectively hold approximately 0.42% of outstanding shares, have committed to supporting the deal.

"The transaction announced today is the result of a thorough and wide-ranging strategic review process," said Caroline Loew, CEO of Mural Oncology. "We believe this transaction achieves the goal of maximizing shareholder value."

XOMA Royalty plans to implement an orderly wind-down of substantially all Mural’s operations following the closing, which is expected by the end of 2025, subject to regulatory approvals and other customary closing conditions.

The acquisition will be implemented through a High Court sanctioned scheme of arrangement under Irish law, requiring approval from Mural shareholders and the Irish High Court.

Based on a press release statement, the transaction values Mural’s entire issued and to-be-issued share capital at approximately $36.2 million, excluding any additional consideration that may become payable.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers
© 2007-2025 - Fusion Media Limited. All Rights Reserved.