26th Nov 2018 16:54
LONDON (Alliance News) - Netscientific PLC said Monday investee PDS Biotechnology Corp has agreed to a merger with Nasdaq-listed Edge Therapeutics Inc, as the company also conducts a strategic review.
Netscientific said the merger will create a combined company with a "robust pipeline" of next generation cancer immunotherapies based on the Versamune technology platform, with sufficient cash to fund operations into 2020.
The new company will operate under the PDS Biotechnology name.
NetScientific said the new company will initiate multiple late-stage clinical studies for lead product candidate PDS0101. NetScientific will own 9.2% of the new company.
Chief Executive Officer Francois Martelet said: "We are delighted that the board of Edge has selected PDS after a rigorous selection process, as we believe this provides further important validation of the Versamune technology platform.
"Once combined with Edge and listed on Nasdaq, we expect PDS to enjoy a good valuation with a lot of underlying upside potential as its pipeline progresses, as has been seen recently with many other immuno-oncology companies, and we foresee a lot of value creation to arise from this merger."
The healthcare intellectual property commercialisation company separately announced that it will conduct a strategic review because it believes the market is undervaluing its portfolio.
Netscientific said it is looking at the "various strategic options to it", including selling the company or selling some its portfolio.
The company has hired Ondra LLP and WH Ireland Ltd as financial advisers to assist with the strategic review.
Shares in Netscientific closed up 1.5% Monday at 26.90 pence each.
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