By Dean Seal

Kronos Bio said it has agreed to be acquired by Concentra Biosciences at 57 cents per share and contingent rights for proceeds from sales of its product candidates.

The biotechnology company said Thursday that along with 57 cents a share in cash, investors will get the non-tradeable contingent value right to receive 50% of the proceeds from the sale of KB-9558 and KB-7898 within two years of closing and all proceeds from the sale of KB-0742, lanraplenib and entospletinib prior to closing.

The rights also give shareholders all cost savings realized before closing, 80% of cost savings realized between the merger closing date and the second anniversary of that date, and half of cost savings realized in the year that follows.

Kronos's board has approved the agreement and thinks it is in the best interest of all shareholders.

Concentra will commence a tender offer for Kronos shares by May 15 and close the offer once it gets at least a majority of outstanding shares. The closing is also conditioned on Kronos having at least $40 million of available cash, net of transaction costs and other liabilities.

Kronos officers, directors and other affiliates holding about 27% of the company's float have signed a tender offer and support agreements to tender their shares.

The merger is expected to close in mid-2025.

Shares fell 14% to 77 cents in premarket trading.

Write to Dean Seal at dean.seal@wsj.com

(END) Dow Jones Newswires

May 01, 2025 09:08 ET (13:08 GMT)

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