Merger of equals"Following the closing of the Transaction, the former shareholders of Ceapro will own 50% of Aeterna and the pre-Transaction securityholders of Aeterna will own the remaining 50%, assuming the exercise of all Transaction Warrants."
We have a merger of equals with each companies shareholders owning 50% of the new company.
AEZS is a C$14 million market cap company according to Stockhouse. Doubling that to account for CZO shareholders owning 50% of the new company would mean a ~C$30 million market cap. CZO had ~C$11 million cash at September 30, 2023 and AEZS had US$38 million cash as of September 30.
Does that mean a new ~C$30 million market cap company with a total of ~C$60 million cash? The new comapny has a NASDAQ listing and Raymond James and Bloom Burton potentially providing analyst coverage.
Need to understand the commercial plan from there but AEZS has products for launch with a burn rate currently. CZO could have the cash it needs to advance its pipeline ahead of key strategic milestones.