YMTX - Yumanity stock soars 46% on all-stock merger with Kineta; lead product sale to J&J for $26M
Yumanity Therapeutics (NASDAQ:YMTX) is selling its lead clinical-stage product YTX-7739 to Johnson & Johnson (NYSE:JNJ) for $26M in cash and is merging with privately-held Kineta in an all-stock transaction. Yumanity said it is selling YTX-7739 and its unpartnered discovery-stage neuroscience product candidates and targets to Janssen Pharmaceutica, a unit of J&J, for $26M in cash. In connection with the closing of the proposed transaction, Yumanity plans to distribute any remaining available cash proceeds from the sale to its stockholders via a one-time dividend, net of any amounts for obligations and cash requirements linked with the proposed merger. In addition, Yumanity said it is merging with Kineta, under which Kineta stockholders are expected to own ~85% of the combined company and current Yumanity stockholders will own the remaining 15%. The combined publicly traded company, which will be called Kineta and headquartered in Seattle, will focus on immuno-oncology and continue Yumanity's ongoing research collaboration with Merck (MRK) in amyotrophic lateral sclerosis
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Yumanity stock soars 46% on all-stock merger with Kineta; lead product sale to J&J for $26M