BioCentury
ARTICLE | Company News

Raven, VaxGen deal

November 19, 2007 8:00 AM UTC

VXGN and Raven will merge in a stock deal. Raven stockholders will receive 32 million shares of VXGN valued at $35.5 million based on VXGN's close of $1.11 on Nov.12, before the deal was announced. Raven stockholders will own 49% of the combined company, and VXGN stockholders will own the remaining 51%. VXGN also will assume Raven's debt of about $1.8 million and provide Raven with a $6 million bridge loan to fund operations prior to the merger's closing, which is expected in 1H08.

All the company's development programs will come from Raven. The lead product is RAV12, a MAb against an undisclosed cell-surface antigen that is expected to begin Phase II testing to treat pancreatic and colon cancer next year. The company also has four MAbs in preclinical testing to treat various cancers. Wyeth (WYE, Madison, N.J.) has an option to exclusively license an undisclosed MAb to treat cancer. ...