Sagaliam Acquisition Corp. (SAGA) Signs Definitive Agreement with Enzolytics Inc. (OTC PK: ENZC)

Sagaliam (NASDAQ:SAGA), which previously announced it had signed a non-binding letter of intent (LOI) for the purchase of Biogenysis, Inc. and Virogentics Inc., operating subsidiaries of Enzolytics Inc. (OTC Pink: ENZC), announced this afternoon that it has now executed a definitive business combination agreement. However, additional details were sparse.

The LOI was initially announced on April 17, but at that time, the parties expected a definitive agreement to be finalized by May 19.

The LOI was further amended on June 30th and significantly increased the combined purchase price from $250 million to $450 million with a planned raise of additional capital through a PIPE transaction.

Today’s press release did not provide any specifics to the deal, or if the purchase price is still $450 million, but presumably this will be detailed in a subsequent 8-K.

However, prior press releases noted that Virogentics intends to use the funds raised to support clinical trials of its anti-HIV therapeutic ITV-1, complete the African Project, and advance the marketing of its IPF Immune.

As for Biogenysis, it will use the funds to finalize the production and testing of species-specific monoclonal antibodies for COVID-19, HIV, and Feline Leukemia. This funding will enhance Biogenysis’ drug discovery capabilities using proprietary AI technology, expand its IP portfolio, and advance healthcare towards predictive, preventive, personalized, and participatory medicine.

Earlier this year, Sagaliam terminated its proposed merger with Arabian Entertainment Company (AEC), just a few months after their deal announcement.