UC San Francisco spinout Effector Therapeutics is set to go public through a reverse merger with Locust Walk Acquisition Corp that includes a $60m PIPE financing.
Effector Therapeutics, a US-based cancer treatment developer spun out of University of California, (UC) San Francisco, agreed to a reverse merger with special purpose acquisition company Locust Walk Acquisition Corporation today.
Locust Walk is listed on Nasdaq Capital Market under the ticker symbol LWAC. It raised $175m in its initial public offering in January 2021 and the reverse merger will also include a $60m private investment in public equity (PIPE).
The PIPE financing has been committed by spinout-focused fund Osage University Partners (OUP) as well as SR One, Pfizer Ventures and Alexandria Venture Investments, respective vehicles for pharmaceutical firms GlaxoSmithKline and Pfizer, and real estate investment trust Alexandria Real Estate Equities.
Abingworth, Column Group, US Venture Partners (USVP), Altitude Life Science Ventures, Sectoral Asset Management and BioMed Ventures are also contributing to the PIPE financing.
The reverse merger is expected to conclude in the third quarter…
Thierry Heles
Thierry Heles is the editor of Global University Venturing, host of the Beyond the Breakthrough interview podcast and responsible for the monthly GUV Gazette (sign up here for free).
