Bio-technology startup StemoniX agrees to merger with public pharma company
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StemoniX Inc. has agreed to a merger with Cancer Genetics Inc., a publicly-traded pharmaceutical company based in Rutherford, New Jersey.
StemoniX will receive about 78% of Cancer Genetics’ 2.31 million outstanding shares, making it the majority owner of the company. At Cancer Genetics’s press timeshare price of around $7, the transaction will be worth $12.6 million to StemoniX. The deal is expected to close in the fourth quarter of this year.
Maple Grove-based StemoniX uses stem-cell technology to create “micro-organs,” like heart cells or parts of the brain, for pharmaceutical companies to use in drug testing and development.
Cancer Genetics posted a net loss of $1.7 million for the second quarter of 2020 on revenues of $1.4 million. The company sold its research and development arm last year, but still supports preclinical trials through its discovery services arm. At the end of the second quarter, it only had $2.9 million in cash.
Suprotik Sinha is the Content Writer with Synkrama Technologies. He writes about technologies and startups in the global enterprise space. An animal lover, Suprotik, is a postgraduate from Symbiosis Institute of Mass Communication (SIMC) Pune. He carries 6+ years of experience in Content Writing, and he also worked in mainstream broadcast media, where he worked as a Journalist with Ibn7 ( now known as News18 India) and Zee Media in Mumbai.
About the author
Suprotik Sinha is the Content Writer with Synkrama Technologies. He writes about technologies and startups in the global enterprise space. An animal lover, Suprotik, is a postgraduate from Symbiosis Institute of Mass Communication (SIMC) Pune. He carries 6+ years of experience in Content Writing, and he also worked in mainstream broadcast media, where he worked as a Journalist with Ibn7 ( now known as News18 India) and Zee Media in Mumbai.
