Here’s a new way to raise money for your biotech. This trailblazer came out $61M ahead with a place on the NYSE
When Jonathan Solomon first heard about a SPAC, he had no idea what it was. But now that the CEO has completed the first one in biotech, coming out with a fresh $61 million in financing while making the public flip to the New York Stock Exchange, he’s a convert to the cause.
And there are more coming.
There have been hundreds of SPACs — Special Purpose Acquisition Companies, often called a blank-check company — out over the years, especially during the big wave of IPOs we’ve been seeing. But not in the biotech field, which is seeing some choppy waters and headwinds after an extraordinary 5-year run on the IPO market. Some of the execs at Chardan put together this maiden biotech SPAC — dubbed Chardan Healthcare Acquisition Corp, or CHAC — that wound up opting for Solomon’s Israeli microbiome outfit BiomX — which is officially closing the unorthodox reverse merger today.
The company will be listed later in the week as $PHGE.
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