Poolbeg Pharma PLC (AIM:POLB) said it has entered into preliminary discussions that could lead to it being bought in an all-paper deal by HOOKIPA Pharma Inc.
If it goes ahead, the transaction would form a Nasdaq-listed biopharma group focused on next-generation immunotherapies and innovative treatments for critical unmet medical needs, including cancer.
It would also leave Poolbeg shareholders with the majority of the enlarged company and the UK-listed group's founder, Cathal Friel, as its executive chairman.
Under the outlined terms, Poolbeg shareholders would receive 0.03 HOOKIPA shares for each Poolbeg share, resulting in approximately 55% of the combined entity’s equity for Poolbeg shareholders and 45% for HOOKIPA shareholders.
The proposed combination would create a diversified clinical pipeline, headlined by HOOKIPA's HB-700, a multi-KRAS targeting immunotherapy for cancers with limited treatment options, and Poolbeg’s POLB 001, a phase II-ready small molecule therapy for cancer immunotherapy-induced cytokine release syndrome.
HOOKIPA plans to raise $30 million through a private placement to fund the enlarged group’s pipeline, including phase I and phase II data milestones for HB-700 and POLB 001 by 2026.
The combined group is expected to be debt-free post-transaction, with operational bases across the US, UK, and EU.
The deal remains non-binding and contingent on due diligence, finalised terms, board approvals, and shareholder consent. Further details will be shared in a forthcoming investor presentation.