|Raptor Pharmaceuticals buys TorreyPines Therapeutics|
|By Shailesh Kuber in Bangalore; Editing by Mike Miller|
|Tuesday, 28 July 2009 07:22|
Under terms of the deal, Raptor will be merged with and into a wholly owned subsidiary of TorreyPines, and TorreyPines will issue its common stock to Raptor stockholders.
TorreyPines stockholders will own about 5 percent in the combined company, which will be named Raptor Pharmaceuticals, the companies said.
Raptor Chief Executive Christopher Starr will be CEO of the combined company, they said.
At the closing, TorreyPines will implement a reverse stock split to ensure compliance with Nasdaq listing requirements, the companies said.
The exact size of the reverse split will be determined at closing.
In May, TorreyPines said its board approved a plan to liquidate the company's assets, after considering potential strategic alternatives.
Raptor shares closed at 36 cents on Monday, while TorreyPines shares closed at 8.9 cents.