-- Scilex (SCLX) said Tuesday its subsidiary ACEA Therapeutics agreed to transfer 100% of the equity interests of ACEA Pharma to Phoenix Asia (PHOE) in a $1 billion all-stock transaction.
Under the agreement, ACEA Therapeutics will receive 100 million newly issued Phoenix shares priced at $10 each in exchange for ACEA Pharma.
Upon closing, Phoenix will be renamed ACEA Pharma, with its common stock expected to be listed on Nasdaq. ACEA Therapeutics is expected to retain about 82% ownership of the combined company.
The transaction is expected to close by Q2.
Shares of Scilex (SCLX) were down nearly 5%, while Phoenix Asia shares were up 23% in Tuesday afternoon trading.
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