- Thinly traded nano cap Stellar Biotechnologies (SBOT +117.5%) is up on a healthy 38x surge in volume in reaction to its share exchange (reverse merger) with privately held Edesa Biotech.
- Edesa's lead candidate is EB01, a non-steroidal anti-inflammatory molecule for the potential treatment of allergic contact dermatitis.
- Under the terms of the deal, Edesa shareholders will exchange their shares for newly issued Stellar shares, becoming a wholly owned subsidiary of Stellar, while owning 90% of the combined company that will do business as Edesa Biotech.
- The transaction should close next quarter.