pharma company

Bio-technology startup StemoniX agrees to merger with public pharma company

| < 1 minute read

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.

Posted in

About the author

Related Posts

Startup Of The Week – NutSpace

Everything we do, we do to brighten the future of our children by making them creative, innovative and better human beings. We shape the future of our children by using simple theme-based stories that are easy to understand, encourage reflection, impart knowledge and drive curiosity. We design story-based courses for children, parents and teachers. Currently, we are focusing on creating content for children (and their parents/teachers) of 0-8 years.