ENZC valuation isn't based on the ITV-1 therapeutic only. It is based on the ALL product lines.
The transaction, once completed, will provide BGEN and VIRO with significant additional capital to continue their development and expansion of existing and future technology platforms. In addition, Sagaliam expects to raise additional capital through a private investment in public equities ("PIPE"). The anticipated capital raise from the PIPE is expected to be primarily used by BGEN and VIRO to pay transaction-related expenses and fund the clinical trials of ITV-1, marketing of IPF Immune™, production of fully human monoclonal antibodies (mAbs) and continued advancement in its proprietary technology involving the application of Artificial Intelligence (AI) in therapeutic discoveries and production.
Charles Cotropia, CEO of Enzolytics, stated, "At Biogenysis, we have a pipeline of Monoclonal Antibodies. In addition, we are creating a strong IP portfolio for multiple infectious diseases covering diagnostics, therapeutics, and vaccines for these viruses. Strategically, we are focused on meeting milestones and licensing each of these assets. The SPAC agreement allows us to move forward with multiple Monoclonal Antibodies simultaneously, bringing significant value to our shareholders."
The ITV-1 therapeutic is just the appetizer. The main course is the Monoclonal Antibodies.
We don't know the intricate details about the Business Combination however the ENZC has shared what the could during the course of the negotiations.
We should be getting an update of the Business Combination agreement later this month per press release:
Finally, ENZC has negotiated additional compensation in the form of a monthly management fee to be paid by Sagaliam Acquisition Corp (SAGA) to ENZC over a 30-month period following the close of the purchase of BGEN and VIRO. The funds will be used to facilitate the continued compliance of ENZC's OTC Market filing requirements, administration of the dividend payment of the 45 million SAGA share issuance received as part of the SAGA purchase transaction to the ENZC shareholders and the Company's development of a new business strategy to be implemented after the close of the sale of BGEN and VIRO. ENZC and SAGA have continued the process of documenting the Business Combination agreement and expect to provide further guidance later this month.
How long does a typical SPAC transaction take?
Commencing with the closing of the IPO, a SPAC can hold substantive discussions with a target. If a SPAC needs more time than is set forth in its organizational documents, it can seek a shareholder vote to amend its organizational documents to extend the deadline. With each vote to extend the deadline, the SPAC’s organizational documents typically also provide that the SPAC must offer shareholders the right to redeem their shares for a pro rata portion of the cash held in the trust account. Typically, it takes around 4–5 months from the signing of the definitive documents to closing. From the closing of the SPAC’s IPO to the closing of the business combination, the average time frame is approximately 16 months.
