Lexington, Mass. – Frequency Therapeutics, a leading biotechnology company, has announced an all-stock reverse merger with Korro Bio, a privately held genetic-medicines company. The merger will create a combined company with a focus on Korro’s impressive portfolio of RNA editing programs.
Strong Financial Position
The combined company is expected to have a robust financial position, with a cash balance of approximately $170 million. This includes $117 million from a planned concurrent financing led by a syndicate of life-sciences investors. With this funding, the company will have a solid cash runway extending into 2026.
Embracing the Opportunities
A reverse merger allows private companies to go public through a merger with an already listed company, providing significant cost advantages compared to traditional initial public offerings.
Rebranding for Success
Upon completion of the merger, the combined company will operate under the name Korro Bio. Its shares will be traded on Nasdaq, identified by the symbol KRRO.
Market Response
Following the announcement, Frequency shares experienced substantial growth in premarket trading, rising by almost 58% from 40 cents to 63 cents.
