Kadimastem Shareholders Approved the Merger with NLS Pharmaceutics
NLS Pharmaceutics (NLSP) and Kadimastem have achieved a significant milestone in their merger process as Kadimastem's shareholders approved the merger during a special general meeting. The merger aims to create a combined Nasdaq-traded biotechnology company focusing on advanced therapies for neurodegenerative diseases and diabetes.
NLS, a Swiss clinical-stage biopharmaceutical company specializing in rare and complex central nervous system disorders, plans to convene its own shareholder meeting for final merger approval. Kadimastem, a clinical-stage cell therapy company, develops 'off-the-shelf' allogeneic cell products for neurodegenerative diseases and diabetes treatment.
Both companies view this merger as an opportunity to leverage their combined biotechnology strengths and advance innovative solutions in the biopharmaceutical sector.
NLS Pharmaceutics (NLSP) e Kadimastem hanno raggiunto un traguardo significativo nel loro processo di fusione, poiché gli azionisti di Kadimastem hanno approvato la fusione durante un'assemblea generale speciale. L'obiettivo della fusione è creare una compagnia biotecnologica quotata al Nasdaq, focalizzata su terapie avanzate per malattie neurodegenerative e diabete.
NLS, una compagnia biofarmaceutica svizzera in fase clinica, specializzata in disturbi rari e complessi del sistema nervoso centrale, prevede di convocare una propria assemblea degli azionisti per l'approvazione finale della fusione. Kadimastem, una compagnia di terapia cellulare in fase clinica, sviluppa prodotti cellulari allogenici 'pronti all'uso' per il trattamento delle malattie neurodegenerative e del diabete.
Entrambe le aziende considerano questa fusione come un'opportunità per sfruttare le loro forze biotecnologiche combinate e promuovere soluzioni innovative nel settore biofarmaceutico.
NLS Pharmaceutics (NLSP) y Kadimastem han logrado un hito significativo en su proceso de fusión, ya que los accionistas de Kadimastem aprobaron la fusión durante una reunión general extraordinaria. La fusión tiene como objetivo crear una empresa biotecnológica cotizada en Nasdaq, centrada en terapias avanzadas para enfermedades neurodegenerativas y diabetes.
NLS, una empresa biofarmacéutica suiza en etapa clínica que se especializa en trastornos raros y complejos del sistema nervioso central, planea convocar su propia reunión de accionistas para la aprobación final de la fusión. Kadimastem, una empresa de terapia celular en etapa clínica, desarrolla productos celulares alogénicos 'listas para usar' para el tratamiento de enfermedades neurodegenerativas y diabetes.
Ambas empresas ven esta fusión como una oportunidad para aprovechar sus fortalezas biotecnológicas combinadas y avanzar en soluciones innovadoras en el sector biofarmacéutico.
NLS Pharmaceutics (NLSP)와 Kadimastem은 Kadimastem의 주주들이 특별 총회에서 합병을 승인함에 따라 합병 과정에서 중요한 이정표를 달성했습니다. 이 합병의 목표는 신경퇴행성 질환과 당뇨병에 대한 최첨단 치료법에 중점을 둔 나스닥 상장 생명공학 회사를 만드는 것입니다.
드물고 복잡한 중추 신경계 질환을 전문으로 하는 스위스 임상 단계 생명공학 회사인 NLS는 최종 합병 승인을 위한 주주 회의를 소집할 계획입니다. 임상 단계 세포 치료 회사인 Kadimastem은 신경퇴행성 질환과 당뇨병 치료를 위한 '기성' 동종세포 제품을 개발합니다.
두 회사 모두 이 합병을 생명공학 강점을 결합하고 생명 의약품 분야의 혁신적인 솔루션을 발전시킬 수 있는 기회로 보고 있습니다.
NLS Pharmaceutics (NLSP) et Kadimastem ont franchi une étape importante dans leur processus de fusion puisque les actionnaires de Kadimastem ont approuvé la fusion lors d'une assemblée générale extraordinaire. L'objectif de cette fusion est de créer une entreprise biopharmaceutique cotée au Nasdaq, axée sur des thérapies avancées pour les maladies neurodégénératives et le diabète.
NLS, une entreprise biopharmaceutique suisse en phase clinique spécialisée dans les troubles rares et complexes du système nerveux central, prévoit de convoquer sa propre assemblée d'actionnaires pour l'approbation finale de la fusion. Kadimastem, une entreprise de thérapie cellulaire en phase clinique, développe des produits cellulaires allogéniques 'prêts à l'emploi' pour le traitement des maladies neurodégénératives et du diabète.
Les deux entreprises considèrent cette fusion comme une opportunité d'exploiter leurs forces biotechnologiques combinées et de promouvoir des solutions innovantes dans le secteur biopharmaceutique.
NLS Pharmaceutics (NLSP) und Kadimastem haben einen bedeutenden Meilenstein in ihrem Fusionsprozess erreicht, da die Aktionäre von Kadimastem die Fusion während einer außerordentlichen Hauptversammlung genehmigt haben. Ziel der Fusion ist die Schaffung eines an der Nasdaq notierten Biotechnologieunternehmens, das sich auf fortschrittliche Therapien für neurodegenerative Krankheiten und Diabetes konzentriert.
NLS, ein Schweizer biopharmazeutisches Unternehmen in der klinischen Entwicklungsphase, das auf seltene und komplexe Erkrankungen des zentralen Nervensystems spezialisiert ist, plant, eine eigene Hauptversammlung zur endgültigen Genehmigung der Fusion abzuhalten. Kadimastem, ein biopharmazeutisches Unternehmen in der klinischen Entwicklungsphase, entwickelt 'fertige' allogene Zellprodukte zur Behandlung neurodegenerativer Krankheiten und von Diabetes.
Beide Unternehmen betrachten diese Fusion als eine Gelegenheit, ihre kombinierten biotechnologischen Stärken zu nutzen und innovative Lösungen im biopharmazeutischen Sektor voranzubringen.
- Merger approval from Kadimastem shareholders indicates strong stakeholder support
- Combined entity will be listed on Nasdaq, potentially improving market visibility and access to capital
- Merger creates a diversified portfolio spanning neurodegenerative diseases and diabetes treatments
- Final merger approval from NLS shareholders still pending
- Integration challenges and costs may affect short-term performance
Insights
The shareholder approval of Kadimastem's merger with NLS Pharmaceutics represents a strategic consolidation in the specialized biotech space, particularly noteworthy given the current market dynamics. The merger combines two distinct yet complementary technological platforms: NLS's CNS disorder pipeline and Kadimastem's cell therapy expertise.
The strategic rationale appears robust as it addresses several critical aspects: First, it provides NLS immediate access to Kadimastem's 'off-the-shelf' allogeneic cell therapy platform, a highly valuable asset in the rapidly growing cell therapy market. Second, the merger creates a diversified pipeline spanning both neurodegenerative diseases and diabetes, reducing single-program risk. Third, the Nasdaq listing of the combined entity could potentially improve access to capital markets and institutional investors.
From a market perspective, this merger positions the combined entity to address multiple high-value markets:
- The neurodegenerative disease market, projected to reach
$62.7 billion by 2030 - The diabetes cell therapy market, estimated to grow to
$3.6 billion by 2027
However, key execution risks remain, including potential integration challenges and the need for substantial capital to advance multiple clinical programs simultaneously. The pending NLS shareholder approval represents the final major hurdle before merger completion.
NLS is also planning to convene a shareholder meeting for final approval of the Merger. The collaborative effort between NLS and Kadimastem underscores the companies' commitment to advance innovative solutions that address unmet medical needs in the biopharmaceutical sector.
Ronen Twito, Executive Chairman and Chief Executive Officer of Kadimastem, stated, "We are happy that our shareholders have approved this significant Merger with NLS. We believe that this approval shows the shareholders' appreciation of the anticipated value creation from the Merger to leverage NLS's and Kadimastem's combined strengths in biotechnology. We look forward to completing the Merger and unlocking new opportunities for growth and innovation."
Alex Zwyer, Chief Executive Officer of NLS, commented, "Receiving approval from Kadimastem's shareholders is a significant step forward in the Merger process. We look forward to the potential benefits of bringing our two companies together and are committed to working collaboratively to advance innovative solutions in biotechnology. We aim to convene our shareholders meeting in the coming weeks to support a smooth transition toward this partnership."
As the Merger process progresses, both companies remain focused on aligning their efforts to become a leading force in developing therapies that address critical health challenges.
About NLS Pharmaceutics Ltd.
NLS is a global development-stage biopharmaceutical company, working with a network of world-class partners and internationally recognized scientists, focused on the discovery and development of innovative therapies for patients with rare and complex central nervous system disorders who have unmet medical needs. Headquartered in
About Kadimastem
Kadimastem is a clinical stage cell therapy company, developing "off-the-shelf," allogeneic, proprietary cell products based on its technology platform for the expansion and differentiation of Human Embryonic Stem Cells (hESCs) into functional cells. AstroRx®, the company's lead product, is an astrocyte cell therapy in clinical development for the treatment for ALS and in pre-clinical studies for other neurodegenerative indications.
IsletRx is the company's treatment for diabetes. IsletRx is comprised of functional pancreatic islet cells producing and releasing insulin and glucagon, intended to treat and potentially cure patients with insulin-dependent diabetes. Kadimastem was founded by Professor Michel Revel, Chief Scientific Officer of Kadimastem and Professor Emeritus of Molecular Genetics at the Weizmann Institute of Science. Professor Revel received the Israel Prize for the invention and development of Rebif®, a multiple sclerosis blockbuster drug sold worldwide. Kadimastem is traded on the Tel Aviv Stock Exchange (TASE: KDST).
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Safe Harbor Statement
This press release contains expressed or implied forward-looking statements pursuant to
No Offer or Solicitation
This communication is not intended to and shall not constitute an offer to buy or sell or the solicitation of an offer to buy or sell any securities, or a solicitation of any vote or approval, nor shall there be any sale of securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction. No offering of securities shall be made, except by means of a prospectus meeting the requirements of Section 10 of the Securities Act of 1933, as amended.
Additional Information about the Transaction and Where to Find It
In connection with the proposed transaction, NLS has filed a Registration Statement on Form F-4, including a proxy statement/prospectus, with the SEC. NLS may also file other relevant documents with the SEC regarding the proposed transaction. This document is not a substitute for the proxy statement/prospectus or any other document that NLS may file with the SEC. The proxy statement (if and when available) will be mailed or delivered to shareholders of NLS and Kadimastem. INVESTORS AND SECURITY HOLDERS ARE URGED TO READ THE PROXY STATEMENT/PROSPECTUS AND ANY OTHER RELEVANT DOCUMENTS THAT MAY BE FILED WITH THE SEC, AS WELL AS ANY AMENDMENTS OR SUPPLEMENTS TO THESE DOCUMENTS, CAREFULLY AND IN THEIR ENTIRETY IF AND WHEN THEY BECOME AVAILABLE BECAUSE THEY CONTAIN OR WILL CONTAIN IMPORTANT INFORMATION ABOUT THE PROPOSED TRANSACTION. Investors and security holders will be able to obtain free copies of the proxy statement/prospectus (if and when available) and other documents containing important information about NLS and Kadimastem and the proposed transaction, once such documents are filed with the SEC through the website maintained by the SEC at http://www.sec.gov. Copies of the documents filed with the SEC by the Company will be available free of charge on NLS's website at www.nlspharma.com.
Participants in the Solicitation
NLS, Kadimastem, and certain of their respective directors and executive officers may be deemed to be participants in the solicitation of proxies from NLS and Kadimastem shareholders in respect of the proposed transaction. Information about the directors and executive officers of NLS, including a description of their direct or indirect interests, by security holdings or otherwise, is set forth in NLS's Annual Report on Form 20-F for the fiscal year ended December 31, 2023, which was filed with the SEC on May 15, 2024. Other information regarding the participants in the proxy solicitation and a description of their direct and indirect interests, by security holdings or otherwise, will be contained in the proxy statement/prospectus and other relevant materials to be filed with the SEC regarding the proposed merger when such materials become available. Investors should read the proxy statement/prospectus carefully when it becomes available before making any voting or investment decisions. You may obtain free copies of these documents from NLS Pharmaceutics using the sources indicated above.
Photo: https://mma.prnewswire.com/media/2610278/NLS_Pharmaceutics_and_Kadimastem.jpg
NLS contact:
investorrelations@nls-pharma.com
www.nlspharma.com
Kadimastem contact:
Sarah Bazak
Investors Relations
s.bazak@kadimastem.com
www.kadimastem.com
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SOURCE NLS Pharmaceutics Ltd.; Kadimastem Ltd.
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