VC-backed Singapore biotech start-up agrees SPAC merger

The SPAC, Mountain Crest Acquisition Corp V, raised USD 69m in late 2019. It is headed by Suying Liu, previously of US-based Mansion Capital and J.P. Morgan.

Liu’s SPACs have targeted Asia as recently as May, when Mountain Crest Acquisition Corp IV agreed a combniation with Chinese electric vehicle industry supplier CH-Auto Technology. The series is perhaps best known for a combination with Playboy last year.

Everlife Asia, a healthcare-focused platform set up by Everstone Group, and Sprim Ventures provided AUM with a USD 27m Series A round last year. Sprim invested via a vehicle called TKS1, a joint venture with France’s Tikehau Capital launched in 2018 that focuses on Singapore-based health-tech companies.

The combination with Mountain Crest is expected to provide approximately USD 69m of cash held in the SPAC’s trust account, assuming no redemptions. The transaction still needs to be approved by a majority of SPAC investors. On completion, they can exercise their warrants and purchase shares or redeem some or all their shares for cash. Completion is slated for the first quarter of 2023.

AUM describes itself as pursuing a holistic approach to cancer drug development that improves the probability of success through a focus on synergism. It claims to have an extensive track record of selecting distinctive early-stage assets and contributing to the development of commercialised treatments with annual sales of up to USD 3bn.

The company’s lead cancer treatment candidate is set to begin phase-two trials within the year and is being developed in partnership with Swiss biotech giant Roche. The project has received preliminary development approvals in the US and has sub-licensed commercialisation rights for Greater China.

“AUM is a unique and compelling investment opportunity, with its clinical-stage diversified pipeline of precision therapeutic candidates and global strategic partnerships with industry heavyweights, pointing to significant future growth potential and allowing the company to have a greater US footprint,” Liu said in a statement.

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• Topics
• Southeast Asia
• IPO
• Technology
• Healthcare
• Singapore
• Everstone Capital
• Pharmaceuticals
• SPAC