Biotech Values

[DewDiligence]

CLBS reverse-merges into private, Cend Therapeutics—new company to be named, Lisata Therapeutics (ticker: LSTA):

https://www.globenewswire.com/news-release/2022/04/27/2430164/0/en/Caladrius-Biosciences-and-Cend-Therapeutics-Announce-Definitive-Merger-Agreement.html

Upon closing, shareholders of Cend will receive approximately 60.5 million shares of Caladrius common stock, subject to certain closing conditions, resulting in the shareholders of each company owning approximately 50% of the combined company. The transaction values each company at $90 million, which for Caladrius represents a 136% premium to its market cap as of the market close on April 26, 2022.

…About Cend Therapeutics

Cend is a clinical-stage biotech company focused on a novel approach to enable more effective treatments for solid tumor cancers. The CendR Platform provides a tumor-targeted tissue penetration capability to specifically enhance drug delivery to tumors. Cend is also applying its technology to alter immunosuppression selectively within the tumor microenvironment to enable a patient’s immune system and immunotherapies to fight cancer with greater effectiveness.

Although equity in the new company will be divided 50/50, I consider this a reverse-merger insofar as CLBS is the company being valued at a premium to its current valuation.