Processa acquires Vidya Therapeutics in $200M private placement deal

Processa Pharmaceuticals (Nasdaq: PCSA) announced the acquisition of Vidya Therapeutics, a clinical-stage biotechnology company, along with a concurrent private placement expected to raise approximately $200 million in gross proceeds.

The acquisition is structured as a stock-for-stock transaction in which Vidya's equity holders will receive a combination of 558,398 shares of Processa common stock and 142,744.100 shares of Series A non-voting convertible preferred stock, representing approximately 142.7 million shares of common stock on an as-converted basis. Following the close of both transactions, existing Processa stockholders will own approximately 0.9% of the company on a fully diluted basis, while Vidya equity holders and private placement investors will own approximately 46.0% and 52.6%, respectively.

The private placement involves the issuance of 163,774.679 shares of Series A non-voting convertible preferred stock at $1,221.19 per share, or $1.22119 per share on an as-converted basis. Investors include Bain Capital Life Sciences, Janus Henderson Investors, RA Capital Management, Cormorant Asset Management, and others. The placement is expected to close July 30, 2026.

The transaction brings Vidya's lead asset, VT-7208, a BTK inhibitor, into Processa's pipeline. Phase 2 studies in food allergy and chronic spontaneous urticaria are expected to begin in the second half of 2026, with a relapsing multiple sclerosis study planned for the first half of 2027. Top-line Phase 2 data across the three programs are anticipated between the second half of 2027 and second half of 2028.

Processa said the proceeds are expected to fund operations into the second half of 2029. Leerink Partners served as exclusive financial advisor to Vidya and lead placement agent. Evercore ISI, UBS Investment Bank, and Wells Fargo Securities served as co-placement agents.

You May Also Be Interested In

• Werewolf Therapeutics to merge with Ambros in $150M private placement
• enVVeno Medical (NVNO) files $100M mixed shelf
• Breeze Acquisition Corp. II gets Nasdaq notice for late 10-Q filings