Alpha Healthcare III (NASDAQ:ALPA) announced this morning that it has signed a non-binding LOI for its combination Carmell Therapeutics to acquire an unnamed commercial-stage biotech firm for about $65 million.
The consideration would come in the form of $8 million in cash and $57 million in combined Carmell stock at close plus $75 million in potential milestone payments paid out along the same split (12% cash and 88% shares). This target company’s shares would be locked for 12 months following close.
The $140 million total potential value of this acquisition comes close to doubling the scale of the initial combination with Carmell, which was struck at $188 million enterprise value. Pittsburgh-based Carmell is developing a treatment platform to accelerate healing in bone fractures and soft tissue wounds.
It could also provide Carmell with some cash flow nearer at hand post-close as the target generated about $5 million in EBITDA from $50 million in revenue during the 12 months ending March 31, 2023.
The target also has a sales contract in place with a purchasing organization with coverage in about 1,500 US hospitals. Carmell’s therapies on the other hand remain at the clinical stage with its most advanced candidates undergoing Phase II trials.
This acquisition agreement remains non-binding, however, and may not come to fruition. In the meantime, it may serve as an amuse-bouche for Alpha Healthcare III investors as they head into a completion vote for the Carmell deal on July 11.
At the SPAC of Dawn Last week’s hot streak continues this week in the form of a high volume of votes for SPACs. Two are seeking approvals for their business combinations while six more aim to get the stamp on their extension votes. Investors will also have an eye on upcoming Fed comments on Wednesday...
Terms Tracker for the Week Ending May 2, 2025 Welcome to our weekly column where we discuss the findings from our IPO terms tracker based on the previous week’s pricings. April wrapped with some real momentum. Over the course of the month, 19 SPACs filed new S-1s, while 12 IPOs priced. Furthermore, nine deal announcements...
ProCap Acquisition Corp. (NASDAQ:PCAPU) has filed for a $200 million SPAC to hunt for a fintech or financial services target. The new S-1 filing was BTIG’s second of the week after a two-month break, bringing its 2025 new SPAC filings to five and the bank has so far managed to IPO five SPACs as well....
MSM Frontier Capital Acquisition Corp. (NASDAQ:MSMUU) has filed for a $225 million SPAC to search for a infrastructure target in Africa. The new SPAC will head out on this expedition with a trust that is not overfunded and units that each contain one right to a 1/8 share. It will also have 24 months to...
At the SPAC of Dawn This action-packed week in SPACs comes to an end with three more SPACs launching their IPOs, bringing it to nine on the week. And, the crypto strategy that SPACInsider noticed becoming increasingly popular among de-SPACs earlier this year has continued to gain steam. This week, edtech firm Classover (NASDAQ:KIDZ), fresh...