Pharmaceutical companies CombinatoRx and Nueromed Pharmaceuticals announced a merger today, with Combinato to acquire its industry peer in an all-stock deal, according to Reuters. Though biotech mergers & acquisitions activity has tapered considerably from the fervor of the opening months of 2009, the merger tacks on a deal valued at $28.8 million to the year’s total.
The terms of the deal will have Combinato issuing approximately 36 million common shares to Nueromed stockholders; each company will hold about half of the voting power. The combined company will take the CombinatoRx name.
The deal is expected to close in the foruth quarter.
Nueromed is currently conducting late-stage trials for its leading drug candidate, Exalgo, a pain reliever. Specific ownership constraints will depend on the outcome of the drug’s review.