New York-based Ohr Pharmaceutical Inc. agreed to merge with NeuBase Therapeutics Inc., a privately held developer of treatments for genetic diseases.
After completion of the transaction, Ohr stockholders will own about 20% and NeuBase stockholders will own about 80% of the combined company, after accounting for an additional financing transaction consummated by NeuBase at or before the closing of the merger.
The combined company will focus on developing therapies for severe and untreatable diseases caused by genetic mutations using NeuBase's peptide-nucleic acid antisense oligonucleotide technology, named PATrOL.
Ohr Pharmaceutical said in a Jan. 3 news release that certain members and affiliates of the board and management of both companies have indicated an intent to invest in the additional financing.
NeuBase CEO Dietrich Stephan will head the combined company, with the executive team of NeuBase serving as the executive team of the new company.
After the closing of the deal, the combined company will be named NeuBase Therapeutics and will trade on Nasdaq under the symbol NBSE.
The transaction has been approved by the boards of both companies and is subject to the approval of Ohr Pharmaceutical shareholders at a special meeting that is scheduled in the first half of 2019.
Roth Capital Partners LLC is acting as financial adviser to Ohr for the transaction and Troutman Sanders LLP is serving as legal counsel to Ohr. Allele Capital Partners LLC at Tribal Capital Markets LLC is acting as financial adviser and Paul Hastings LLP is serving as legal counsel to NeuBase.