OxiGene, Symphony ViDA deal
OxiGene exercised its option to acquire Symphony ViDA in a stock deal. OxiGene gained the option last year when it out-licensed Zybrestat fosbretabulin for ophthalmic indications and OXi4503 combretastatin A1 di-phosphate (CA1P) to Symphony ViDA, which was formed by private equity firm Symphony Capital with an initial investment of $15 million. Symphony Capital will receive 6 million newly issued shares of OxiGene, which are valued at $12.5 million based on OxiGene's close of $2.08 on July 2, the last trading day before the deal was announced. After the expected closing in 30 days, Symphony Capital will increase its ownership of OxiGene's outstanding shares from 37% to 44%.
OxiGene will get Symphony ViDA's $12.5 million in remaining cash. OxiGene said the purchase price represents a "substantial reduction" from the $30 million price stipulated in the original agreement (see BioCentury, Oct. 6, 2008). ...