Poolbeg and HOOKIPA merger update: Gilead signals support, pledges up to $8.75m fundraise
() , a clinical-stage biopharma company focused on infectious diseases, issued a follow-up to its January 7, 2025 announcement regarding Gilead Sciences' endorsement of Poolbeg's proposed merger with HOOKIPA Pharma. Gilead has a 19.4% stake in HOOKIPA.
On January 7, 2025, Gilead announced its intention to vote consistent with HOOKIPA's board should a formal offer for Poolbeg be made. Gilead also said it would participate in HOOKIPA's related fundraise, announced earlier in the month alongside the proposed merger.
Today, Gilead clarified that it would participate in the concurrent fundraise in an amount up to $8.7495 million, consistent with its current contractual obligations.
Investors should note that all discussions to date relating to the potential merger have been non-binding.
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More news regarding Poolbeg and HOOKIPA's proposed merger as the latter's 19.4%-shareholder Gilead Sciences has now endorsed the move. HOOKIPA will execute a concurrent private placement worth "over US$30m", with participation from Gilead of up to US$8.75m.
The funds will be injected into the company immediately following the merger to provide additional working capital. Upon completion of the fundraise, the combined group would be debt-free, with financial runway through year-end 2026. Both the acquisition and fundraise are expected in early Q2 2025.
Initially announced on January 2, 2025, the proposed merger aims to create a biopharma leader focused on innovative treatments, particularly cancer immunotherapies. Should the merger go through, shareholders will retain majority equity (55%) in the combined group while HOOKIPA will remain the listed entity on Nasdaq, with Poolbeg becoming a private subsidiary. The combined entity will be a significant force in the rapidly evolving field of immunotherapies, with operations in the US, UK, and EU.
The enlarged business would benefit from an all-star team of industry veterans, including Cathal Friel (Poolbeg cofounder) who would become Executive Chairman; Ian O'Connell, (Poolbeg cofounder) who would become CFO; and Malte Peters, PhD, would be the company's CEO. The combined entity would boast a significant diversified clinical pipeline, led by HOOK's multi-KRAS targeting HB-700, a next-gen immunotherapy targeting cancers with limited treatment options, and Poolbeg's POLB 001, an innovative oral treatment for cancer immunotherapy-induced CRS.
Investors can expect multiple near-term value inflection points from the enlarged group, boosted by the aforementioned US$30m+ fundraise. The merger should bolster near-term clinical data catalysts, with data expected across multiple programmes over the next 24 months in areas with unmet medical needs. The enlarged group would also inherit 2 partnered programmes with Gilead Sciences, offering the potential of significant R&D and commercialisation milestones in addition to substantial royalties.
Specifically, expected near-term value inflection points include Phase 1 interim data for HB-700 in the H1 2026, Phase 2a topline data for POLB 001 in H2 2026, and primary completion of the Phase 1b trial of HB-500 in H2 2025.
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