Mersana Therapeutics To Be Acquired By Day One Biopharmaceuticals For Up To $285 Mln

(RTTNews) - Mersana Therapeutics, Inc. (MRSN), a biopharmaceutical company, Thursday, announced that it has entered a definitive agreement to be acquired by Day One Biopharmaceuticals through a tender offer followed by a second step merger bringing the total deal value up to $285 million.

The deal involves an upfront payment of $25 per share in cash plus up to $30.25 per share in cash as milestone payment, bringing total equity value to $129 million and the total consideration to around $285 million.

Under the merger agreement terms, the tender offer should commence within 10 business days of November 12 and shares not tendered during this time will be acquired in the second step of the merger for the same consideration as paid in the tender offer on a per share of Mersana common stock basis.

"We believe this proposed acquisition recognizes the work that Mersana has done to develop Emi-Le and that the combination of Mersanas assets and Day Ones research, development and commercial capabilities has the potential to bring more medicines to patients waiting for new therapies.", commented Marty Huber, Chief Executive Officer of Mersana.

TD Cowen is the financial advisor and Wilmer Cutler Pickering Hale and Dorr LLP is the legal counsel to Mersana. Fenwick & West LLP is the legal counsel to Day One.

In pre-market activity, MRSN shares were trading at $27.01, up 204.51% on the Nasdaq.