Repare Therapeutics Inc., a clinical-level precision oncology company, has inked the definitive agreement with Xeno Therapeutics Inc. and Xeno Acquisition Corp., a non-profit biotechnology company. Under this definitive agreement, Xeno will obtain each outstanding and issued common share of Repare.
According to the terms of the Arrangement Agreement, the Repare shareholders will get a cash payment for each Common Share that will be actively based on Repare’s cash balance left or claimed at the closing of the transaction, after deducting a few transaction costs and the estimated price of outstanding liabilities, which refers to the ‘Closing Net Cash Amount’.
Related to the Repare’s recent aggregates of the Closing Net Cash Amount and the predicted timing for Closing. It is approximated that every Repare shareholder will get a cash payment worth US$1.82 per Common Share at the Closing. Additionally, all Repare shareholders will be eligible for one non-transferable contingent value right (each) for every Common Share that is aligned to the holder to receive a cash payment and 100% of certain additional receivables.
These additional receivables may be received by Repare in 90 days, considering the Closing. The total percentage of the net proceeds received from the Repare’s previous collaborations with Bristol-Myers Squibb, DCx Biotherapeutics and Debiopharm has different calculations now, counting Xeno’s participation as well.
Following the signed Arrangement Agreement, Repare will be consistent towards the existing disposition or license of its product candidates and/or intellectual property connected to its RP-1664 program, RP-3500, RP-3467 and Po1θ program. The cash proceeds are expected to receive a prior hint to Closing with respect to any of the transactions that will accelerate the approximate Closing Net Cash Amount. This would also elevate the cash payment to be entered by Repare shareholders at Closing.
The President, Chief Financial Officer and Chief Executive Officer of Repare, Steve Forte, said, “Referring to a deep and vast range of smart reviews of the potential transactions, partnerships, and opportunities focused on the increased shareholder value. Repare’s Board of Directors has collectively confirmed that the Transaction is in the best interests of Repare and its several stakeholders.”
Forte added, “The Transaction delivers a cash payment to shareholders and a chance for consistent participation, earning royalties and milestones, and also a capable future collaboration. From the company side, I would love to flag and thank our employees for their exceptional and robust service.”
Mansi Kadam is a market research writer with over 3 years of experience analyzing trends in the healthcare industry. At Towards Healthcare, she covers innovations in medical sector, sustainability initiatives, and the evolving regulatory landscape.
