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Here’s what investors in FIXX stock need to know about the deal.
- A Homology Medicines news release notes that Pfizer is making a $60 million equity investment in the company.
- This has it purchasing a total of 5 million shares of FIXX stock for $12 each.
- That’s a 2.3% premium over the stock’s closing price of $9.50 per share on Friday.
- The deal will close on or about Thursday.
- According to the Homology Medicines news release, the company plans to use the funds to further its PKU clinical trials and central nervous system programs.
- FIXX says that it expects the $60 million from Pfizer, as well as its other funds, to keep it going into the third quarter of 2022.
- The deal with Pfizer also has it adding Seng Cheng, Ph.D., to Homology Medicines’ Scientific Advisory Board.
- Cheng is the senior vice president and chief scientific officer of Pfizer’s Rare Disease Research Unit
- It also grants PFE a right of first refusal for future deals involving the company’s HMI-102 and HMI-103 phenylketonuria (PKU) product candidates.
Arthur Tzianabos, Ph.D., president and CEO of Homology Medicines, said this about the news.
“With the positive clinical data from the dose-escalation phase of our pheNIX Phase 1/2 trial for adults with phenylketonuria (PKU) and our plans to move to the expansion phase of the trial, both of which we announced last week, we believe Pfizer’s investment in Homology is a testament to their enthusiasm for our PKU gene therapy and gene editing programs to treat people living with this disease.”
FIXX stock was up 5.4% and PFE stock was up 7.3% as of Monday morning.
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