Tarveda Therapeutics Inc. will merge with a subsidiary of Organovo Holdings Inc. in an all-stock transaction.
Tarveda, a privately held company that develops cancer therapies to treat solid tumors, said in a Dec. 16 press release that when the merger closes, the combined company will have about $35 million cash on hand. The company will operate under the name Tarveda Therapuetics Inc. and trade on the Nasdaq Stock Market under the ticker symbol TVDA.
Organovo is a San Diego-based biotechnology company that develops printed tissues on a 3D human tissue platform.
Tarveda stockholders will own about 75% of the combined company and current Organovo holders will own about 25% on a fully diluted basis, according to the press release. The merger, which has been approved by both companies' board of directors, is expected to close in the first quarter of 2020.
Watertown, Mass.-based Tarveda said the merger will sufficiently fund its two clinical-stage cancer programs, PEN-866 and PEN-221, through the second half of 2021.
Financial details of the transaction were not disclosed.
Organovo received financial advice from Roth Capital Partners, and Gunderson Dettmer Stough Villeneuve Franklin & Hachigian LLP was legal counsel. Canaccord Genuity was the financial adviser for Tarveda, while Cooley LLP served as legal counsel.