Humacyte is set to go public via the special purpose acquisition company Alpha Healthcare Acquisition Corp AHAC in a deal that values the company at around $800 million.
Humacyte founder and CEO Laura Niklason and Alpha Healthcare Acquisition CEO Rajiv Shukla appeared on Benzinga's YouTube show "SPACs Attack" for an exclusive interview Tuesday.
Humacyte is a clinical-stage biotech company that aims to become the leader in novel, human acellular matrix products for vascular and non-vascular applications. These products have the potential to improve efficacy, safety and treatment outcomes in patients with a broad range of disease conditions, according to the company.
Humacyte's Tech, Trials: The company stores human cells in cryogenic freezers with the goal of growing those cells in bioreactors in order to form completely new tissues, Niklason said, adding that the company has been perfecting its methods to grow replacement human blood vessels.
The company has seen no instances of clinical rejection when implanting the blood vessels into humans, she added.
The CEO described the company's process as a form of regenerative medicine, as cells from human patients migrate into the implanted tissues.
The company is undergoing Phase 3 clinical trials for patients with vascular trauma and kidney failure, Niklason told Benzinga.
Humacyte anticipates filing a BLA application based on the results of the trials in 2022, which would lead to the company receiving its first approval sometime in 2023, she said.
Humacyte expects that the enrollment of its dialysis trials will be completed by the end of 2021, with topline results coming just over a year after completion, Niklason said.
The Outlook For Humacyte: Alpha Healthcare evaluated multiple options, but Humacyte stood out as a clinical-stage company with extensive pipelines focused on large market opportunities, Shukla said, adding that Humacyte is far ahead of its competition.
The company has multiple drivers of value creation, he noted.
Humacyte will be a $20-billion to $50-billion company if it successfully launches its products as planned, Shukla told Benzinga.
SPAC Deal Notes: Humacyte chose to go public via SPAC because the experience of the team at Alpha Healthcare made it an optimal strategic partner, and the SPAC route allowed the company to explain its longer-term outlook to potential investors, Niklason said.
The deal is expected to close in the second quarter of 2021. Pending shareholder approval, Humacyte will be listed on the Nasdaq and trade under the ticker symbol “HUMA.”
AHAC Price Action: Alpha Healthcare Acquisition was up 0.15% at $9.88 at last check Tuesday.
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