Werewolf to merge with Ambros in $150 million deal

• Werewolf Therapeutics and Ambros Therapeutics agreed to an all-stock merger creating a Nasdaq-listed biotech company focused on neridronate for CRPS-1.
• The companies secured an oversubscribed $150 million private placement expected to close alongside the merger.
• Ambros said the combined company is expected to fund operations through Phase 3 CRPS-RISE trial data and a planned NDA submission.

Werewolf Therapeutics (NASDAQ:HOWL) and Ambros Therapeutics entered an all-stock merger agreement that will create a Nasdaq-listed biotechnology company focused on developing neridronate for Complex Regional Pain Syndrome Type 1 (CRPS-1).

The combined company will operate as Ambros Therapeutics, be headquartered in San Diego and is expected to trade under the ticker “AMBX” following completion of the transaction.

The companies also secured commitments for an oversubscribed $150 million private placement in common stock and pre-funded warrants, which is expected to close at the same time as the merger.

Based on implied pre-transaction valuations of $500 million for Ambros and $47.5 million for Werewolf, existing Werewolf stockholders are expected to own about 6.8% of the combined company, while Ambros stockholders are expected to own 71.7% and private placement investors 21.5%, subject to net cash adjustments.

Ambros said the combined company’s cash position is expected to support operations through topline results from the Phase 3 CRPS-RISE trial in 2028 and a planned New Drug Application submission for neridronate.

The company said the transaction is expected to provide cash runway into the first half of 2029.