Advaxis Agrees To Be Merged With Biosight; To Be Renamed Biosight Therapeutics

(RTTNews) - Advaxis, Inc. (ADXS), a clinical-stage biotechnology company, announced Tuesday that it has entered into a definitive merger agreement with privately held pharmaceutical development company Biosight Ltd.

The proposed merger will create a public company named Biosight Therapeutics that will prioritize the clinical advancement and commercialization of Biosight's lead product, aspacytarabine (BST-236).

In the pre-market activity on Nasdaq, Advaxis shares were gaining around 66 percent to trade at $0.78.

Pursuant to the merger agreement, Advaxis will acquire all share capital of Biosight in exchange for the issuance of newly issued shares of Advaxis stock upon closing, subject to certain conditions.

The shareholders of Biosight will become the majority holders of the combined company immediately following completion of the transaction. Upon completion of the merger, Advaxis's then-current equity holders will own approximately 25% and the former Biosight equity holders will own approximately 75% percent of Advaxis's common stock, calculated on a fully diluted basis.

The combined company is expected to have approximately $50 million in cash, cash equivalents and marketable securities at closing.

Following the closing, which is expected to occur in the second half of 2021, Advaxis will be renamed Biosight Therapeutics and is expected to trade on the Nasdaq Capital Market under the ticker symbol "BSTX".

The combined company plans to advance its pipeline through multiple clinical trials, and anticipates certain milestones over the next 12-18 months.

The transaction has been unanimously approved by the board of directors of both companies.

The combined company will be headquartered out of new facilities expected to be located in New Jersey and will continue to maintain its presence in Israel.

Effective as of the closing of the transaction, Ken Berlin will be the President and Chief Executive Officer of the combined company.

Roy Golan will be Chief Financial Officer, while Andres Gutierrez and Darrel Cohen will be Chief Medical Officers.