Chinook is a privately held clinical-stage biotechnology company focused on the discovery, development and commercialization of precision medicines for kidney diseases.
Last year Chinook raised a $65 million Series A round led by founding investor Versant Ventures.
Under the merger agreement, Seattle-based Aduro will acquire all of the outstanding capital stock of Chinook in exchange for shares of Aduro common stock representing approximately 50 percent of Aduro’s outstanding common stock.
The combined company is expected to have approximately $200 million in cash, cash equivalents and marketable securities at closing, including $25 million in additional financing committed by Chinook’s existing investors.
Following closing, which is expected to occur in the second half of 2020, Aduro will be renamed Chinook Therapeutics and is expected to trade on the Nasdaq under the ticker symbol “KDNY”.
“After an extensive and thorough review of strategic and potentially transformative options for Aduro, we are very pleased to announce a proposed merger with Chinook,” said Stephen T. Isaacs, chairman, president and chief executive officer of Aduro.
“We believe the combined company’s strong pipeline, near-term milestones, seasoned leadership team and focus on kidney diseases offer an excellent opportunity to benefit patients and provide value to our stockholders.”