Adagio Medical, Inc., a privately owned pioneer in catheter ablation technologies used in the treatment of cardiac arrhythmias, has confirmed a definitive agreement for a business merger with ARYA Sciences Acquisition Corp IV (ARYD). ARYD is a special purpose acquisition company backed by Perceptive Advisors, LLC.
Once the agreement is finalized, Adagio Medical will become a subsidiary of Aja Holdco, Inc. The company will continue operating under the current management team, retaining its name "Adagio Medical, Inc."
The union indicates a post-deal equity value for the amalgamated company of $128 million and a comprehensive enterprise value of $113 million.
It's projected that the merged company's common stock will be listed on the Nasdaq Capital Market, identified under the ticker symbol "ADGM".
The agreement is scheduled to be finalized by the second quarter in 2024. This is subject to the approval from the shareholders of both ARYA and Adagio Medical, alongside the fulfillment of several customary closing conditions.
Upon closure, pre-existing investors in Adagio Medical (with exceptions for Perceptive Advisors and RA Capital), are presumed to own around 10.2% of the combined company. Simultaneously, Perceptive and ARYA Sciences Holdings IV, which is associated with Perceptive Advisors and a sponsor of ARYA, will jointly hold nearly 58.2%.
At the point of closure, it's anticipated the merged company will receive approximately $42 million from both equity and convertible note investors. This comprises $20 million in convertible debt and another $22 million in equity financing.
Investors partaking in the financing are connected with firms such as Perceptive Advisors, RA Capital Management, RTW Investments, and ATW Partners.
