BioCentury
ARTICLE | Strategy

Architecting Archemix's cash

January 12, 2009 8:00 AM UTC

Archemix Corp. says its discovery deal with GlaxoSmithKline plc won't affect the biotech's plans to reverse-merge with NitroMed Inc. Indeed, having the $27.5 million upfront fee in the bank and more coverage of its outlays for R&D can only strengthen its hand as it moves to become a public company.

According to President and CEO Errol De Souza, the GSK deal has no impact on the company's plan to go public. "This changes nothing about the proposed NitroMed-Archemix merger, and we are on track to close the merger in 2Q09," he told BioCentury. "I think it will give us a very strong financial position, as we anticipate at the close in 2Q09 having a cash balance of $78-$88 million."...