SC&H Capital, a leading investment bank specializing in M&A advisory for middle-market companies, is pleased to announce that its client, Humanigen, Inc., has been acquired by Taran Therapeutics, Inc.. Humanigen, a clinical-stage biopharmaceutical company focused on preventing and treating certain inflammatory and oncological conditions filed chapter 11 on January 3, 2024, in the United States Bankruptcy Court for the District of Delaware.
The Company battled several challenges after failing to receive regulatory approval for its drug, lenzilumab, to treat COVID-19 in the summer of 2021. Humanigen’s stock price dropped over 60% after approval was denied and continued to decrease over the next 12 months. After a potential reverse merger fell through in the summer of 2023, trading was suspended on July 26, 2023, and the stock was delisted from the Nasdaq market on October 11, 2023. With no ability to raise additional capital, the Company sought bankruptcy protection to provide a path to sell its assets, namely its monoclonal antibodies, lenzilumab and ifabotuzumab, and the associated extensive pre-clinical and late-stage clinical data and intellectual property of these compounds.
SC&H Capital conducted a global search for a buyer and after consultation with Humanigen’s board and its advisors, selected Taran as the stalking horse bidder and debtor-in-possession lender. The sale was approved on February 14, 2024, and closed the following week.
Dr. Cameron Durrant, the Chief Executive Officer and Chairman of Taran stated, “I believe the potential benefits of lenzilumab can help numerous patients dealing with an array of illnesses and its development could save countless lives. I am encouraged by the court’s approval to sell the assets to Taran and thanks to SC&H’s process, I will be able to continue my work and lead the development of these products.”
“Dr. Durrant’s passion and dedication was evident from the first conversation I had with him,” added Matt LoCascio, Principal at SC&H Capital. “The opportunity for these assets to be developed further presents a chance to positively impact the lives of families dealing with incredibly serious ailments. We are confident Dr. Durrant will successfully lead the charge for approval and usage of these products.”
Pashman Stein Walder Hayden P.C. lawyers Henry J. Jaffe, Joseph C. Barsalona II, J. John Kim, and Richard C. Solow advised Taran, while Blake Cleary, Aaron Stulman, and Brett Haywood of Potter Anderson served as debtor’s counsel to Humanigen.
About SC&H Capital
SC&H Capital is an investment banking and advisory firm specializing in mergers and acquisitions (M&A), employee stock ownership plans (ESOP), distressed M&A, capital raises, financial restructurings, and business valuations for middle-market companies nationally. SC&H Capital delivers services across numerous industries including technology, healthcare, manufacturing, consumer, business and professional services, and government contracting. We are recognized for delivering relevant market insights and tailored solutions to help owners achieve their true strategic value. To learn more, visit www.schcapital.com.
