Conduit Pharmaceuticals and Murphy Canyon Acquisition entered a definitive business combination agreement with an implied initial enterprise value of approximately $700.49 million.
Cash proceeds are expected to consist of up to approximately $136.04 million held in Murphy’s trust account (before any redemptions and payment of expenses) and a $27 million PIPE.
If approved without redemptions, existing Conduit shareholders will retain 100% of their equity ownership and will own approximately 76.48% of the pro forma combined company.
San Diego-based Conduit expects to use proceeds from the deal to accelerate development of its autoimmune disease and idiopathic male infertility pipeline.
Murphy Canyon was originally focused on real estate when it floated a February IPO.
The transaction is expected to close in the first quarter of 2023, when Conduit is anticipated to list on the Nasdaq under ticker symbol CDT.
A.G.P./Alliance Global Partners is serving as financial advisor to Conduit and Murphy. Thompson Hine is legal advisor to Conduit and Sichenzia Ross Ference is legal advisor to Murphy. Read more.
