After the announcement of a definitive merger agreement with DiamiR Biosciences, Aptorum Group Limited (NASDAQ: APM) shares were surging 298.02% as of the latest check to trade at $3.86.
DiamiR, which has a CLIA-licensed and CAP-accredited facility in New Haven, Connecticut, is well-known for creating unique blood-based diagnostic tools that target brain health and other complicated disorders.
All-Stock Merger to Create Synergistic Life Sciences Firm
After the merger, DiamiR Biosciences will become a fully-owned subsidiary of Aptorum Group through an all-stock transaction. APM will continue to trade on the Nasdaq Stock Market, while DiamiR will keep its name despite the merger.
After considering a number of strategic alternatives, Aptorum’s board of directors concluded that this transaction has the best chance of producing both short-term and long-term shareholder value.
Aligning Strategically for International Growth
According to Aptorum’s leadership, the integration of DiamiR’s expertise will position the combined entity to emerge as a globally focused life sciences company. The merged organization aims to generate revenue from biopharma services and deliver innovative biomarker panels designed to better characterize patients with complex biology, including those affected by neurodegenerative and autoimmune disorders.
The partnership is expected to accelerate DiamiR’s clinical and pharmaceutical service offerings, with a strong emphasis on aging-related diseases such as Alzheimer’s.
Merger Structure and Future Operations
Prior to the merger’s closing, Aptorum will re-domicile to the state of Delaware. Post-domestication, APM will acquire all outstanding shares of DiamiR in exchange for newly issued common stock, resulting in DiamiR shareholders owning approximately 70% of the combined company.
Existing Aptorum shareholders will retain the remaining 30%. The merged entity will establish its headquarters in Princeton, New Jersey. Five directors will make up its board: three will be chosen by APM, and two will be chosen by DiamiR, along with one board observer.
Aptorum’s path to becoming a major force in non-invasive diagnostics and cutting-edge life sciences solutions has undergone a sea change with this strategic consolidation.
