XOMA Royalty to Acquire LAVA Therapeutics in a Deal Worth Up to $1.24 Per Share Plus Contingent Value Right

XOMA Royalty Corporation (NASDAQ: XOMA) and LAVA Therapeutics N.V. (NASDAQ: LVTX) have entered into a definitive share purchase agreement, setting the stage for XOMA Royalty to acquire LAVA Therapeutics. The deal, valued at between $1.16 and $1.24 per share in cash, plus a non-transferable contingent value right (CVR), underscores the potential for significant advancements in gamma delta bispecific antibody research, a promising area for patient treatment.

Owen Hughes, Chief Executive Officer of XOMA Royalty, highlighted the transaction's structure as beneficial for both companies' shareholders, emphasizing the addition of LAVA's partnered programs to XOMA's portfolio. Steve Hurly, CEO of LAVA, noted the agreement as the outcome of a strategic review aimed at maximizing shareholder value while ensuring the sustainable success of LAVA's business.

The transaction, subject to customary closing conditions including shareholder approval, is expected to close in the fourth quarter of 2025. Following the acquisition, LAVA plans to discontinue its Phase 1 clinical trial of LAVA-1266 for acute myeloid leukemia and myelodysplastic syndrome, initiating the wind-down of the program.

Advisors for the transaction include Gibson, Dunn & Crutcher LLP and Loyens & Loeff N.V for XOMA Royalty, with Leerink Partners, Cooley LLP, and NautaDutilh N.V. advising LAVA. This acquisition represents a strategic move in the biotech industry, with potential implications for the development of innovative therapies and the financial landscape of biotech investments.

For more information on XOMA Royalty, visit https://www.xoma.com. Details on LAVA Therapeutics can be found at https://www.lavatherapeutics.com.