Avalo Therapeutics surges on buyout of privately held AlmataBio

Avalo Therapeutics

27/03/2024 22:26

** Shares of biotech co Avalo Therapeutics  AVTX.O  surge
over four-fold to $20.9 in extended trading   
    ** Co says it has acquired privately held AlmataBio to gain
access to its experimental drug being developed for an
inflammatory skin condition  
    ** AVTX says it has entered into a private placement which
will provide up to $185 mln in gross proceeds to finance the
deal   
    ** Under the deal, AVTX will gain access to AlmataBio's
experimental antibody-based drug, AVTX-009, to treat
hidradenitis suppurativa (HS)   
    ** HS, also called acne inversus, is a chronic inflammatory
skin condition characterized by lesions in skin folds 
    ** AVTX expects data from a mid-stage study for AVTX-009 in
2026        
    ** Up to last close, AVTX down ~48% YTD 

 (Reporting by Mariam Sunny in Bengaluru)
 ((Mariam.ESunny@thomsonreuters.com;))