Upon closing of the transaction, the company will be renamed "MoonLake Immunotherapeutics" and will be led by an international team of immunology experts. The combined company’s common stock is expected to be listed on Nasdaq under the ticker symbol MLTX.
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In addition to the approximately $115 million held in Helix Acquisition’s trust assuming no redemptions, the transaction also includes commitments for a $115 million PIPE at $10.00 per share from a group including premier institutional and strategic investors.
The PIPE is led by Cormorant Asset Management, and includes BVF Partners., 683 Capital Partners,Asymmetry Capital Management, funds managed by Ghost Tree Capital Group, Monashee Investment Management, RTW Investments, Surveyor Capital a Citadel company, TCG X and funds managed by Tekla Capital Management.
Upon the closing of the business combination, MoonLake will have access to approximately $230 million in cash (less any redemptions and transaction costs).
The proceeds will be funded through a combination of approximately $115 million held in a trust account by Helix (assuming no redemptions) and a $115 million concurrent PIPE financing of Helix Class A shares issued at $10.00 per share to leading institutional investors.
Assuming a share price of $10.00 per share and no redemptions of Helix shares, MoonLake (as a combined entity) is expected to have an implied pro forma equity value of approximately $620 million at closing.
As part of the transaction, certain MoonLake existing equity holders will transfer their MoonLake equity to Helix in exchange for Class A shares of Helix, while certain other MoonLake existing equity holders will have the ability to convert their MoonLake equity into shares of Helix.
The boards of directors of both MoonLake and Helix have unanimously approved the proposed transaction, which is expected to be completed late in the fourth quarter of 2021 or early in the first quarter of 2022. The transaction is subject to, among other things, the approval of the stockholders of both MoonLake and Helix, and satisfaction or waiver of the conditions stated in the definitive business combination agreement. ■