Sigilon Therapeutics downgraded to Neutral from Buy at BTIG

BTIG analyst Thomas Shrader downgraded Sigilon Therapeutics (SGTX) to Neutral from Buy after Eli Lilly (LLY) agreed to acquire all outstanding shares at a cash price of $14.92 per share, totaling about $35M, along with one non-tradeable contingent value right, or CVR, per share, via which the holder may be entitled to receive up to an additional $111.64 per share in cash. The maximum deal price is in line with what Vertex (VRTX) paid for Viacyte, which BTIG calls “a company with much less compelling technology.” Lilly and Sigilon’s key programs in Diabetes are “very collaborative,” so counter offers seem unlikely, the analyst tells investors.