Shares of Renovacor (NYSE: RCOR) were up in early morning trading on Tuesday following the news of its acquisition by Rocket Pharmaceuticals (RCKT). Rocket will acquire Renovacor in an all-stock deal for $2.60 per share, based on the volume-weighted average trading price of Rocket stock priced at $15.51 for the 30 trading days through and including Monday, September 19.
Renovacor is a biotechnology company focused on delivering innovative precision therapies for genetic cardiovascular diseases.
As a part of this deal, Renovacor shareholders will receive around 0.1676 shares of Rocket in exchange for each of their shares in Renovacor and upon the close of the transaction, will own approximately 4.6% of Rocket.
The Board of Directors of both companies had approved the deal and the acquisition is expected to close in the first quarter of next year.
Rocket’s CEO, Gaurav Shah, M.D. commented, “The acquisition of Renovacor aligns with our strategy to expand our leadership position in AAV [Adeno associated virus]-based gene therapy for cardiac disease and gives us a perfect opportunity to continue on our mission to transform the lives of heart failure patients through the power of gene therapy.”