BioBlast up 64% on Trehalose deal with Seelos

|By:, SA News Editor

Thinly traded nano cap Bioblast Pharma (ORPN +64%) is up a healthy 31x surge in volume on the heels of the sale of its Trehalose program to Seelos Therapeutics (SEEL -3.3%) for up to $20.5M.

Under the terms of the deal, ORPN will receive $3.5M, $1.5M upfront and $2.0M in a year, up to $17.0M in milestones plus royalties on net sales.

ORPN expects to finalize its merger with Enlivex Therapeutics Ltd. this quarter. It says current shareholders will have the opportunity to benefit from the success of Trehalose at Seelos via Contingent Value Rights (CVRs).

Trehalose, a protein stabilizing sugar molecule, is being developed to treat oculopharyngeal muscular dystrophy.

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