MergerApr 27, 2026, 04:09 PM
XOMA Royalty Completes Generation Bio Merger for $4.29/Share + CVR
AI Summary
XOMA Royalty Corporation completed its acquisition of Generation Bio Co. on February 9, 2026, following a tender offer that expired on February 6, 2026. XOMA acquired approximately 70% of Generation Bio's outstanding shares for $4.2913 per share in cash plus one non-tradeable contingent value right (CVR). The merger was completed without a stockholder vote, making Generation Bio a wholly owned subsidiary. XOMA acquired Generation Bio's remaining cash, de minimis assets, $98.0 million in tax deductions, and certain legacy LNP assets, with plans to dispose of non-Moderna-related legacy assets for CVR holders' benefit.
Key Highlights
- XOMA Royalty completed the acquisition of Generation Bio Co. on February 9, 2026.
- Tender offer secured ~70% (4,722,533) of Generation Bio shares.
- Consideration: $4.2913 cash per share plus one non-tradeable CVR.
- XOMA acquired $98.0M in Section 174 tax deductions and legacy LNP assets.
- CVR holders to receive payments from net cash, lease settlement, IP, and Moderna proceeds.
- Estimated CVR value is $0.81 per share, mainly from net cash exceeding $29.0M.
- Moderna Agreement has potential $1.8B milestones; next $7.5M not expected in 12 months.