Sygnis/Genetix merge DNA sequencing assets
The biotechnology companies Sygnis Pharma and Genetrix have agreed terms for the merger of the latter's DNA sequencing subsidiary, X-Pol Biotech, with Sygnis. The goal is to develop and market X-Pol's DNA sequencing technologies and products.
Sygnis will acquire 100 per cent ownership of X-Pol by way of capital increase against contribution in kind, with X-Pol will becoming a fully owned subsidiary of Sygnis. After completion of the deal, existing shareholders of X-Pol are expected to hold 77.5 per cent of Sygnis shares. Cash and existing financial facilities, such as SEDA, are expected to cover the financial needs of Sygnis after the transaction until achieving positive cash flows. The executive and supervisory boards of both companies have voted in favour of the proposed key terms of the transaction.