NEW YORK – Naya Biosciences on Tuesday said it has signed a binding letter of intent to acquire gene therapy developer Florida Biotechnologies, contingent on the completion of a previously announced merger.
In October, Aventura, Florida-based Naya and fertility company Invo Bioscience announced their plans to merge. Under the terms of the latest acquisition deal, Naya will use $20 million of its shares to purchase all outstanding capital stock of Florida Biotechnologies after its proposed merger with Invo Bioscience closes in Q1 and the new entity becomes a publicly traded company.
Florida Biotechnologies, after the acquisition is completed, will be eligible for an additional $5 million, or 1 million shares, if it achieves certain milestones. Upon closing of the transaction, Florida Biotechnologies Cofounder Peter Kash will also join Naya's board of directors as vice chairman.
Florida Biotechnologies develops gene therapies for mitochondrial diseases, and its pipeline includes a clinical-stage development program for Leber's hereditary optic neuropathy (LHON), codeveloped with the University of Miami's Bascom Palmer Eye Institute. The adeno-associated virus vector-based gene therapy under development in this program has been tested in a Phase I trial, and Naya is hoping to take it into Phase II studies.
LHON is a rare and inherited genetic disorder associated with vision loss and caused by certain mitochondrial gene mutations. The gene therapy will be the first clinical program for the Naya Regenerative Medicine subsidiary.