09:37 AM EDT, 03/25/2024 (MT Newswires) -- Nuvation Bio ( NUVB ) said Monday it has agreed to acquire AnHeart Therapeutics in an all-stock transaction, with AnHeart's shareholders expected to hold about 33% of Nuvation Bio ( NUVB ) post-transaction.

The company said that as part of the agreement, Nuvation Bio ( NUVB ) will issue about 43.5 million Class A common shares, 851,212 shares of its Series A Non-Voting Convertible Preferred Stock, and warrants exercisable for roughly 2.9 million Class A common shares at $11.50 per share to AnHeart security holders upon closing.

The all-stock acquisition, set to close in Q2, will allow Nuvation Bio ( NUVB ) to utilize its cash reserves for ongoing and future pipeline development instead of needing to raise capital for the deal, the company said.

Shares of the company were down more than 23% in recent Monday trading activity.

Price: 1.77, Change: -0.54, Percent Change: -23.37