AlphaTON stock soars 200% after pioneering digital asset oncology initiative
Investing.com -- TransCode Therapeutics (NASDAQ:RNAZ) stock surged 50% after announcing the acquisition of Polynoma and a $25 million strategic financing from a subsidiary of CK Life Sciences.
The deal transforms TransCode’s pipeline by adding Polynoma’s Phase 3-ready seviprotimut-L, a novel polyvalent shed antigen vaccine for adjuvant treatment of melanoma. Concurrent with the acquisition, CK Life Sciences is investing $25 million in TransCode, primarily to advance clinical development of TransCode’s lead microRNA asset, TTX-MC138, into a Phase 2 clinical trial.
The transaction involves CK Life Sciences receiving approximately 83,285 shares of common stock and 1,152.9568 shares of non-voting Series A convertible preferred stock for Polynoma. Additionally, a CK Life Sciences subsidiary purchased 223.7337 shares of non-voting Series B convertible preferred stock for $25 million, consisting of $20 million in cash and a $5 million promissory note.
Upon completion, CK Life Sciences will own approximately 91% of the combined company on a fully diluted basis, with pre-acquisition TransCode stockholders retaining approximately 9%. The combined entity has a fully diluted equity value of approximately $165 million.
As part of the transaction, Philippe Calais has been appointed as TransCode’s Chief Executive Officer while remaining Chairman of the Board. Tom Fitzgerald steps down as Interim CEO but continues as Chief Financial Officer and board member. Elizabeth Czerepak joins as a new independent board member and Audit Committee Chairperson.
TransCode’s expanded pipeline now includes clinical-stage programs TTX-MC138, targeting microRNA-10b, and seviprotimut-L for melanoma patients with limited options in stage IIB and IIC. The company also maintains several pre-clinical programs, including exploration of combining TTX-MC138 and seviprotimut-L technologies.
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