The estimated value of the combined company is approximately $115 million, based on the closing price of Avant’s stock on October 19, 2007. The all-stock transaction, approved by both companies’ boards, will combine the two companies under the name Avant, and is currently expected to close in the first quarter of 2008. Celldex and Avant shareholders will own 58% and 42% of the combined company on a fully diluted basis, respectively.
Closing of the merger is contingent upon a vote of approval by Avant’s current shareholders at a special meeting of shareholders expected to take place in the first quarter of 2008.
Dr Una Ryan, president and CEO of Avant, said: “Merging with Celldex adds value to our existing programs and results in a robust pipeline, including several later-stage product candidates with near-term catalysts in infectious diseases and oncology. The combined company will have multiple products advancing in tandem, mitigating risk and creating a strong, diversified company focused on clinical progress and value creation.”