Sunesis Pharma: Rises on merger agreement with Viracta Therapeutics

Viracta Therapeutics

30/11/2020 13:26

** Shares of drug developer Sunesis Pharmaceuticals Inc
 SNSS.O  surge 51.3% to $2.27 premarket, their highest in over
two months
    ** SNSS enters into a definitive merger deal with privately
held Viracta Therapeutics Inc according to which Viracta will
combine with Sunesis in an all-stock transaction  urn:newsml:reuters.com:*:nGNX8JJ0st
    ** Upon merger completion, combined co to operate under the
name Viracta Therapeutics Inc and would be listed on the Nasdaq
Global Market under the ticker symbol "VIRX" - cos
    ** Viracta stockholders will receive shares of newly issued
Sunesis common stock and are expected to own about 86% of the
combined co on a fully diluted basis- cos
    ** Financial terms of the agreement are not disclosed
    ** Combined co will focus on advancement and expansion of
Viracta's oncology pipeline targeting virus-associated
malignancies which includes its lead drug candidate,
nanatinostat - cos
    ** Deal expected to close in Q1 2021; upon close, total cash
balance of the combined co expected to be about $120 mln
    ** Up to Friday's close, stock down 55.6% YTD

 (Reporting by Amruta Khandekar)
 ((Amruta.Khandekar@thomsonreuters.com;))