Deals and News
eFFECTOR Therapeutics, Inc. (eFFECTOR), a biopharmaceutical company focused on pioneering the development of selective translation regulation inhibitors (STRIs) for the treatment of cancer, and Locust Walk Acquisition Corp. (NASDAQ: LWAC), a blank-check company formed for the purpose of acquiring or merging with one or more businesses, today announced they have entered into a definitive merger agreement. Upon closing of the transaction, anticipated to occur in the third quarter of 2021, the combined company will be named eFFECTOR Therapeutics, Inc. and will be led by Steve Worland, Ph.D., president and CEO. The combined company’s common stock is expected to be listed on the Nasdaq Capital Market under the ticker symbol “EFTR”.
Geoff Meyerson co-founded Locust Walk, a Boston-based life sciences consulting firm, on Sept. 15, 2008, the same day that Lehman Brothers filed for bankruptcy and Merrill Lynch sold itself to Bank of America. Meyerson said he “figured the world didn’t need another investment bank,” so he and his team found other ways to support biotech firms: advising on strategy, providing analytics, helping raise capital and preparing them for IPOs.
Locust Walk Acquisition Corp. announced the completion of its initial public offering of 17,500,000 units at a price of $10.00 per unit, which includes 2,200,000 units issued pursuant to the exercise of the underwriters’ over-allotment option, for gross proceeds to the Company of $175,000,000. The Company’s units began trading on The Nasdaq Capital Market (“Nasdaq”) under the symbol “LWACU” on January 8, 2021. Each unit issued in the offering consists of one share of the Company’s Class A common stock and one-third of one warrant, with each whole warrant exercisable for one share of Class A common stock at an exercise price of $11.50 per share. Once the securities comprising the units begin separate trading, the Class A common stock and warrants are expected to be listed on Nasdaq under the symbols “LWAC” and “LWACW,” respectively. No fractional warrants will be issued upon separation of the units and only whole warrants will trade.
Locust Walk Acquisition Corp. announced that the holders of the Company’s units may elect to separately trade the Class A common shares and warrants underlying the units commencing on March 1, 2021. Those units not separated will continue to trade on the NASDAQ Capital Market under the symbol “LWACU” and the Class A common shares and warrants are expected to trade under the symbols “LWAC” and “LWACW”, respectively. No fractional warrants will be issued upon separation of the units and only whole warrants will trade.
Locust Walk Acquisition Corp. announced the pricing of its upsized initial public offering of 15,300,000 units at a price of $10.00 per unit, for gross proceeds to the Company of $153,000,000. The Company’s units will be listed on The Nasdaq Capital Market (“Nasdaq”) under the symbol “LWACU” and will begin trading on January 8, 2021. Each unit issued in the offering consists of one share of the Company’s Class A common stock and one-third of one warrant, with each whole warrant exercisable for one share of Class A common stock at an exercise price of $11.50 per share. Once the securities comprising the units begin separate trading, the Class A common stock and warrants are expected to be listed on Nasdaq under the symbols “LWAC” and “LWACW,” respectively. No fractional warrants will be issued upon separation of the units and only whole warrants will trade. The closing of the offering is anticipated to take place on or about January 12, 2021, subject to customary closing conditions.