Allakos completes merger with Concentra Biosciences

Allakos Inc . (NASDAQ:ALLK), a pharmaceutical company with a market capitalization of $29.74 million and more cash than debt on its balance sheet according to InvestingPro, has announced the completion of its merger with Concentra Biosciences, LLC, effectively making Allakos a wholly owned subsidiary of Concentra. The transaction was finalized on Thursday, May 15, 2025, following a successful tender offer for Allakos shares at $0.33 each, which began on April 15, 2025.

The tender offer resulted in approximately 81.21% of Allakos’s outstanding common stock being tendered at $0.33 per share, representing a significant discount from the stock’s 52-week high of $1.55. Following the tender offer, the merger was executed without a stockholder vote, in accordance with Section 251(h) of the Delaware General Corporation Law. The deal comes after Allakos’s stock declined over 72% in the past year.

As part of the merger agreement, all outstanding shares of Allakos common stock, excluding those shares held by Allakos or its subsidiaries, Concentra, or by shareholders who properly demanded appraisal rights, were converted into the right to receive the offer price in cash.

Furthermore, the merger led to changes in the control of Allakos, with the resignation of Allakos’s directors and certain officers. The directors and officers of Merger Sub, the subsidiary of Concentra that completed the tender offer, assumed leadership roles at Allakos post-merger.

In connection with the merger, Allakos also notified The Nasdaq Global Select Market of the completion of the merger and requested the delisting and deregistration of Allakos common stock. Trading of Allakos stock on Nasdaq was suspended prior to market opening on May 15, 2025.

The merger has resulted in material modifications to the rights of security holders and changes in the company’s corporate governance documents, with amended and restated certificate of incorporation and bylaws now in effect.

This news is based on Allakos’s recent SEC filing and reflects the company’s latest corporate developments as it integrates with Concentra Biosciences. InvestingPro analysis shows the company maintains a Fair financial health rating, with detailed insights available in the comprehensive Pro Research Report, which provides deep-dive analysis of over 1,400 US stocks.

In other recent news, Allakos Inc. has announced a definitive merger agreement with Concentra Biosciences, LLC. Under this agreement, Concentra will acquire Allakos for $0.33 per share in cash. The merger has been unanimously approved by the Allakos Board of Directors and is expected to finalize in May 2025, pending certain conditions. Shareholders holding approximately 8.07% of the common stock have already committed to supporting the merger. Meanwhile, Allakos has received a notification from The Nasdaq Stock Market LLC regarding its failure to meet the minimum bid price requirement for continued listing. The company has been given a 180-day period, ending on September 8, 2025, to regain compliance. Allakos is considering options, including a reverse stock split, to address this issue. This development does not immediately affect Allakos’ listing, and its stock will continue to trade on Nasdaq.

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