Longevity Biomedical is going public on Nasdaq via a business combination with SPAC Denali Capital Acquisition (NASDAQ:DECA).
The combined company will operate as Longevity Biomedical and is expected to list on Nasdaq under the symbol LBIO.
The transaction represents a pro forma equity valuation of ~$236.2M of the combined company, assuming no redemptions of Denali public shares by its stockholders.
Longevity aims to become a provider of advanced therapeutic, health monitoring and digital health technologies aimed at restoring tissue form and function and increase health span for the rapidly growing aging population.
Longevity has established an existing pipeline of late-stage, therapeutic candidates for cardiovascular disease, ophthalmology and soft tissue reconstruction and repair through the proposed acquisitions of the following:
LBI-201 an ultrasonic device for ischemic stroke; LBI-001 for retinal vein occlusion; LBI-101 for permanent reconstruction of soft tissue affected by aging and injuries; LBI-002 a biosynthetic cornea for corneal transplant.
Longevity also entered into agreements with Cerevast Medical, Aegeria Soft Tissue and Novokera, before the business combination agreement (BCA), Longevity will acquire all outstanding equity securities of these company in exchange for Longevity shares.
These companies are developing candidates across ophthalmology, cardiovascular disease and soft tissue reconstruction and repair which will be acquired by Longevity.
The companies said that the combined company may seek a $30M pre-transaction PIPE that is expected to close concurrently with the closing of the transaction. The cash runway is expected to go into 2025.
Of the combined company, Denali’s shareholders would own ~34.9% stake, the sponsors, officers, directors and other holders of Denali founder shares and private shares will retain an ownership of ~10.9. Meanwhile, Longevity stockholders will own ~54.2% stake.
Longevity is led by CEO Bradford Zakes.
The boards of Denali and Longevity have approved the transaction, which is expected to close in Q2 2023.
The transaction will require the approval of shareholders of Denali and Longevity, and is subject to other closing conditions.