The SPAC or Special Purpose Procurement Company They have been in the news this year thanks to the ease it provides for companies to go public. This is the case of biotechnology Smelled Bio which announced that it will go public thanks to this financial vehicle, according to Sohini Podder en Reuters.
The biotech company agreed to go public through a merger with the SPAC Dynamics Special Purpose Corp in an agreement that values the combined company in 601 million dollars.
Senti, short for “sentient”, uses a genetic circuit technology platform that designs DNA to create cell and gene therapies which, according to the company, can detect and respond to ailments within the human body.
“The way I like to think of it, just like you can program a computer with different programs or maps, we can do the same with medicines,” he told Reuters. co-founder and CEO Timothy Lu.
“We are essentially trying to create smart drugs.”
A faculty member of the Massachusetts Institute of Technology, Lu co-founded Senti Bio in 2016 with Philip Lee y Jim Collins. Collins was one of the founders of the field of synthetic biology.
The company has two ongoing collaborations with Bayer AG and Roche Holding AGLu noted in stem cell therapies and gene therapy applications, respectively. Its internal programs are focused on cancer treatments.
The agreement is expected to generate gross income of over $ 296 million, which include more than 66 million dollars of private investment in public capital, or PIPE, from the risk investment arm of Amgen Inc, funds and accounts managed by Morgan Stanley, Counterpoint Global, T. Rowe Price y otros.
The deal is expected to close in the second quarter of 2022, after which the merged entity will be listed on the Nasdaq.
J.P. Morgan y Morgan Stanley advised Dynamics on the deal, while BofA Securities advised Senti Bio.