Celsus Therapeutics bags $75M capital raise; shareholder vote on Volution Pharma acquisition September 16

Aug. 18, 2015 8:28 AM ETAkari Therapeutics, Plc (AKTX)ALXN, AKTXBy: Douglas W. House, SA News Editor
  • Celsus Therapeutics (CLTX) secures a $75M private placement of securities with select institutional investors. The transaction is subject the shareholder approval in conjunction with the company's proposed acquisition of Volution Immuno Pharmaceuticals. The vote is scheduled for September 16 at Celsus's General Shareholder Meeting. Closing date is projected to be September 18.
  • The company expects to receive net proceeds of ~$70M from the sale of American Depository Shares (ADSs). Each ADS represents 10 ordinary shares. Based on yesterday's ADS closing price of $0.61 and assuming an aggregate of 949,410,450 fully-diluted shares following the close of the  acquisition, each ADS would be priced at $1.58.
  • On a pro forma basis, prior to the effect of the private placement, current Celsus shareholders will own ~8.32% of the combined entity while Volution security holders will own ~91.68%. The private placement values the combination, which will be renamed Akari Therapeutics and trade under the symbol "AKTX," at $150M.
  • Net proceeds will fund the clinical development of Coversin, a C5 inhibitor for the treatment of complement-related disorders in hematology, nephrology and neurology, working capital and general corporate purposes. C5 inhibition was commercially pioneered by Alexion Pharmaceuticals (NASDAQ:ALXN) with Soliris (eculizumab).

Recommended For You

Comments

To ensure this doesn’t happen in the future, please enable Javascript and cookies in your browser.
Is this happening to you frequently? Please report it on our feedback forum.
If you have an ad-blocker enabled you may be blocked from proceeding. Please disable your ad-blocker and refresh.