Clever jump to the US stock exchange: Through a merger with the Nasdaq-listed company Vital Therapies Martinsried-based Immunic AG is gaining quick and cost-effective access to the US stock market over the turn of the year. While Vital shareholders are assuming a minority role, Immunic investors are shelling out €26 million for the transaction.
The drug developer, which was spun off from 4SC AG, which is also listed on the (German) stock exchange, almost three years ago, Martinsried Innovation Center IZB will soon be listed on the US technology exchange Nasdaq as Immunic Inc. According to an agreement signed in early January, the indirect IPO will be conducted through a share exchange.
US stock exchange: Immunic shareholders receive 89 percent
An investor consortium consisting of Life Sciences Partners, Omega Funds, Fund +, Lifecare Partners, Bavaria Capital, High-Tech Gründerfonds, and IBG Beteiligungsgesellschaft Sachsen-Anhalt have pledged to invest approximately €26 million in the company upon completion of the transaction. This money will be used to advance Immunic's further drug development. The financing is expected to be completed before or at the same time as the closing of the merger, which is contingent upon this financing.
The total cash balance of the new company will then be between $35 million and $40 million, sufficient to finance development through the third quarter of 2020. Vital Therapies shareholders will own 11 percent of the combined company, and Immunic shareholders will own 89 percent.
CEO Vitt remains responsible
Daniel Vitt, Chief Executive Officer and President of Immunic, will remain at the helm, but the company's headquarters will move to Boston, USA, as its formal headquarters. The transaction has already been approved by the supervisory boards of both companies and Immunic's shareholders. It is expected to be finalized in the second quarter of 2019.
Immunic already had a remarkable reputation throughout Germany when it was founded. Series A financing of over 30 million euros can raise.
