CM Life Sciences III filed a Form S-4 outlining terms of its merger agreement with pharmaceutical company EQRx.
Announced earlier this month, financing on the deal includes approximately $552 million of cash held in the SPAC’s trust (assuming no redemptions), and a PIPE of $1.2 billion from healthcare investors led by SB Northstar, a fund managed by SB Management (a subsidiary of SoftBank Group) and including funds advised by Casdin Capital and Corvex Management. Other participants in the PIPE include Fidelity Management & Research, Franklin Templeton, Invus, Rock Springs Capital, Bain Capital Life Sciences, BVF Partners, Boxer Capital, Avidity Partners, Andreessen Horowitz, Mubadala Investment Company and its asset management subsidiary, Mubadala Capital, Verily and strategic partners spanning the healthcare ecosystem.
The transaction values EQRx at a pre-transaction enterprise value of $3.65 billion with an additional $500 million potential performance based earnout.
If approved, the deal is expected to close in the fourth quarter. Read more.