Korro Bio, Frequency Therapeutics Sign All-stock Merger Deal

(RTTNews) - Korro Bio, Inc., an RNA editing firm, and Frequency Therapeutics, Inc. (FREQ), announced on Friday that they have signed a deal to combine the two firms in an all-stock transaction.

The proposed merger aims to create a listed genetic medicines firm focused on advancing Korro Bio's portfolio of RNA editing programs.

The new company will be operated under Korro Bio, Inc. and will apply to trade on Nasdaq under the ticker symbol "KRRO."

Korro Bio has secured commitments from a syndicate of life sciences investors for a planned concurrent $117 million financing, which is expected to close immediately prior to the completion of the merger. The merger and related financing are expected to be closed in the fourth quarter.

Pre-merger, Frequency Therapeutics stockholders will own around 8 percent, whereas Korro Bio shareholders will own remaining circa 92 percent of the combined company.

Post transaction, the new company will be headquartered in Cambridge, Massachusetts. It will be led by current members of the Korro Bio management team.